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Abstract

This study made use of a contingent valuation survey where respondents were presented with three framing scenarios: a control group with no framing, a natural disaster group with questions framed around the cost of natural disasters, and a Ukraine War group in which the question was framed around the volatility of gasoline prices due to foreign conflicts. The result showed a significant increase in the probability of supporting a gas tax at $2.50/gallon, compared to the current, higher, price of gasoline. The probit regression estimates also showed that the framing of the questions did not significantly affect the probability of supporting the tax. The proportion of income spent on gas and other socioeconomic variables had a significant effect on their probability of supporting a gas tax. The average amount of tax expected to be paid monthly by the respondents was $4.40 and $7.34 at the current gas price and $2.50/gallon.

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