Consider a monopolist with constant marginal​ costs, m, that faces a market demand curve with a constant​ own-price elas

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Consider a monopolist with constant marginal​ costs, m,
that faces a market demand curve with a constant​ own-price
elastiticity
ε.
If the government applies a specific​ tax, t, to
the​ monopolist, then the change in the price charged
to​ consumers, in terms of
ε
​is:
ΔP=t1+1ε
Suppose the constant​ own-price elasticity of market demand
is
−3.45.
Then a
​$2.00
specific tax will impose a tax incidence on consumers that is
equal​ to:
A.
61.36​%
B.
168.98​%
C.
140.82​%
D.
35.89%