If there are both external benefits and external costs associated with the production and consumption of a good, and the external benefits are greater than the external costs,
a. Taxing it could bring us closer to the efficient solution
b. Subsidizing it could bring us closer to the efficient solution
c. Neither a tax or a subsidy could bring us closer to the efficient solution
d. None of the above is true.
b
Economics
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Refer to Figure 7.1. If Angus chooses to earn the most money and Dudley does nothing, Dudley will receive a daily payoff of
A) $100. B) $350. C) $550. D) $700.
Economics
If the price of milk was $1.25 a gallon and it is now $2.25 a gallon, what is the percentage change in price?
A) 4.4 percent B) 8 percent C) 44 percent D) 80 percent
Economics