Suppose that coal producers create a negative externality equal to $5 per ton of coal. What is the relationship between the equilibrium quantity of coal and the socially optimal quantity of coal?
a. They are equal.
b. The equilibrium quantity is greater than the socially optimal quantity.
c. The equilibrium quantity is less than the socially optimal quantity.
d. There is not enough information to answer the question.
b
Economics
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In 2012, the House of Representatives voted to have what type of audit of the Fed?
A) auditing of financial statements B) auditing lending policy that took place during the financial crisis of 2007-2009 C) auditing of monetary policy decisions D) auditing of personal finances of members of the Board of Governors
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If a tripling of price triples the quantity of a good supplied, the price elasticity of supply for this good is:
a. 3. b. 300. c. 1. d. ?1. e. ?3.
Economics