a; '1" Suppose that the average household in a state consumes 500 gallons of gasoline a year. A 10 cent tax per gallon of gasoline is introduced, and...

 Suppose that the average household in a state consumes 500 gallons of gasoline a year. A 10 cent tax per gallon of gasoline is introduced, and couples are given a $50 annual tax rebate per household. Will the household be better or worse off after the new program is introduced? Use a well annotated graph in your explanation. (Hint: Reference the Chapter 4 Challenge Solution for ideas on how to think about this problem.)

a; ‘1“ Suppose that the average household in a state consumes 500 gallons of gasoline a year.A 10 cent tax per gallon of gasoline is introduced, and couples are given a $50 annualtax rebate per household. Will the household be better or worse off after the newprogram is introduced? Use a well annotated graph in your explanation. (Hint: Ref-erence the Chapter 4 Challenge Solution for ideas on how to think about this problem.)