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Tax Assignment | Homework For You

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December 5th, 2019

Consider two cities, City D and City E, which are entirely identical except that Taxify operates in City D, but not in City E. Consumers in City D can choose between Taxify and a local taxi when selecting a means of transport, while consumers in City E can travel only via taxi. When the government imposes a tax on taxis in City D and City E, the price of a taxi ride will increase _______ in City D than in City E. Get Economics homework help today

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