Now, consider demand for the gasoline sold by Gas Station G in a large city. The gasoline sold by other stations is an excellent substitute for the gasoline sold by Station G. Because there are many good substitutes for gasoline, its demand is probably elastic. A. If the price at Gas Station G rises by 10%, by what percentage is its quantity sold likely to change, other things being the same? B. In this case, what will happen to Station G'S revenues when the price rises? C. Make a general statement about how revenues will change when the price rises or when it falls if demand is elastic and if it is inelastic. D. It is often suggested that increasing gasoline taxes will reduce the quantity of gasoline people will buy and, as a result, reduce air pollution. In the short run would such a policy be effective in reducing air pollution? Would the policy be effective in reducing air pollution in the long run? Why?