The government would use production taxes to remedy the problem of substantial:
A. external costs of consumption.
B. external benefits of production.
C. external costs of production.
D. external benefits of consumption
Answer: C
Economics
You might also like to view...
Income and revenue from taxes have a specific relationship during recessions. What is it?
A) incomes fall, tax revenue increases B) incomes rise, tax revenue decreases C) incomes fall, tax revenue decreases D) incomes rise, tax revenue increases
Economics
A firm is producing the profit-maximizing amount of output when it is producing where its ________ curve intersects its ________ curve
A) MC; MR B) MC; AVC C) MC; ATC D) MC; TR
Economics