Each of the following provides incentives to reduce a negative externality except:

a. merger with affected firms.
b. subsidizing consumption of the good being produced.
c. bargaining among firms.
d. taxation of the externality.

b

Economics

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An increase in demand, all other things unchanged, will result in a(n) ________ in the equilibrium price and a(n) ________ in the equilibrium quantity.

A) increase; increase B) decrease; decrease C) decrease; increase D) increase; decrease

Economics

The ratio of U.S. government spending to GDP reached its peak during:

a. World War I. b. World War II. c. the Great Depression. d. the real estate crisis. e. the bursting of the stock market bubble.

Economics