Which of the following problems can not be alleviated by a gasoline tax?

Trade without serious income distribution effects is most likely to happen

A) in sophisticated manufactures trade between rich countries. B) in simple manufactures trade between developing countries. C) in sophisticated manufactures trade between rich and poor countries. D) in agricultural trade between rich countries. E) in labor-intensive industries like clothing.

The Marshall-Lerner condition is less likely to hold when

A) imports and exports are very price-sensitive. B) the trade deficit is large. C) the marginal propensity to consume is very large. D) the marginal propensity to consume if very small. E) none of the above