Domestic producers of goods that compete with imports benefit from protectionism in the short run

Over twenty years ago the city of Washington D.C. was facing a budgetary shortfall. In a plan to increase tax revenue the mayor and city council agreed to raise the excise tax on gasoline

Typically for goods like gasoline which are price inelastic this should have led to an increase in tax revenue. However, just the opposite happened – tax revenue plummeted! What could explain this seemingly paradoxical result?

There is no trade-off between inflation and unemployment when expectations are ________ and policy changes are ________

A) adaptive; anticipated B) adaptive; unanticipated C) rational; anticipated D) rational unanticipated