Why do negative externalities like pollution result in inefficiency?
A. Because producers artificially restrict their supply.
B. Because producers ignore the external costs they impose on third-parties.
C. Because producers manufacture more goods than people can afford to buy.
D. Because producers will receive an unequal distribution of profits.
Answer: B
Economics
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Suppose households attempt to increase money holdings. To stabilize output and employment, the Federal Reserve will _____
Fill in the blank(s) with correct word
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