This topic contains a solution. Click here to go to the answer

Author Question: Taxes can yield the efficient level of pollution if the tax is set equal to the A) marginal ... (Read 134 times)

RYAN BANYAN

  • Hero Member
  • *****
  • Posts: 563
Taxes can yield the efficient level of pollution if the tax is set equal to the
 
  A) marginal benefit of pollution.
  B) marginal external cost of the pollution.
  C) marginal social cost of the pollution.
  D) equilibrium price of the pollution.

Question 2

Consider a market in which there is an external cost. A tax can be used to arrive at the efficient market equilibrium because the tax will
 
  A) decrease supply of the good.
  B) increase supply of the good.
  C) decrease demand for the good.
  D) increase demand for the good.



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

Ddddd

  • Sr. Member
  • ****
  • Posts: 334
Answer to Question 1

B

Answer to Question 2

A




RYAN BANYAN

  • Member
  • Posts: 563
Reply 2 on: Jun 29, 2018
Excellent


Joy Chen

  • Member
  • Posts: 354
Reply 3 on: Yesterday
Wow, this really help

 

Did you know?

Urine turns bright yellow if larger than normal amounts of certain substances are consumed; one of these substances is asparagus.

Did you know?

Medication errors are more common among seriously ill patients than with those with minor conditions.

Did you know?

The human body produces and destroys 15 million blood cells every second.

Did you know?

Human neurons are so small that they require a microscope in order to be seen. However, some neurons can be up to 3 feet long, such as those that extend from the spinal cord to the toes.

Did you know?

The eye muscles are the most active muscles in the whole body. The external muscles that move the eyes are the strongest muscles in the human body for the job they have to do. They are 100 times more powerful than they need to be.

For a complete list of videos, visit our video library