Which of the following statements is correct?

a. Corrective taxes are often preferred over direct regulation because they typically reduce externalities at a lower cost.
b. Corrective taxes distort economic incentives.
c. Corrective taxes are often preferred over direct regulation because they typically reduce externalities at a faster rate.
d. Both a and b are correct.

a

Economics

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The above figure shows the U.S. market for wheat. With international trade, the gain in total surplus is equal to ________

A) area A B) area B + area C C) area D D) area C + area F E) area C + area D + area F

Economics

Refer to the table above. If the price of a chair decreases to $5 and the rental price of machines is $50 per day, up to how many machines should the firm rent?

A) 2 B) 3 C) 5 D) 7

Economics