If a Corrective Tax on Gasoline Results in the Efficient

Multiple Choice

If a corrective tax on gasoline results in the efficient output of gasoline by internalizing the negative externalities associated with pollution,then

A) pollution from gasoline will increase.
B) there will be no effect on pollution from gasoline.
C) pollution from gasoline will be zero.
D) pollution from gasoline will decrease.
E) pollution from gasoline will either increase or remain the same.