The figure above shows the market for transportation services, which produces an external cost due to the air pollution that is created
If the market for transportation services is competitive and unregulated, the equilibrium quantity is ________ and the equilibrium price is ________. A) 120; $14
B) 120; $8
C) 80; $12
D) 80; $6
B
Economics
You might also like to view...
A consumption tax is a tax on
a. goods but not on services. b. the amount of income that people spend. c. the amount of income that people earn. d. the amount of income that people save.
Economics
Suppose that a union successfully negotiated a 10 percent wage increase and the quantity of labor demanded decreased by 10 percent. Given a fixed labor demand curve, we can conclude that:
A. the labor demand curve is upsloping. B. labor demand is elastic. C. labor demand is unit-elastic. D. the coefficient of elasticity of labor demand is less than 1.
Economics