Suppose the government levies a corrective tax on firms that pollute in order to limit the quantity of pollution. Under this policy, does the demand curve for pollution rights determine the quantity of pollution, or does it determine the price of pollution?

The productivity of workers in an economy is high if:

A) the economy has a negative rate of inflation. B) the economy has low capital stock. C) the economy has high levels of human capital. D) the economy has a large working age population.

"If the marginal social benefit of a car exceeds the marginal social cost of a car, we are producing too many cars." True or false? Explain

Indicate whether the statement is true or false