Author Question: New homes built by the airport suffer from noise pollution created by a change in air-traffic ... (Read 114 times)

codyclark

  • Hero Member
  • *****
  • Posts: 538
New homes built by the airport suffer from noise pollution created by a change in air-traffic patterns. If compensation is paid to the homeowners, _____.
 
  a. they will internalize the externality
  b. they will use the money to buy soundproofing for their homes
  c. it should be equal to the marginal cost of their harm
   d. it will reduce or eliminate any incentive to avoid the problem

Question 2

An income tax _____.
 
  a. increases the return to bearing risk, if the company is a monopolist
  b. has no impact on the return to bearing risk
  c. increases the return to bearing risk
   d. reduces the return to bearing risk



joshbk44

  • Sr. Member
  • ****
  • Posts: 340
Answer to Question 1

d

Answer to Question 2

d



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
 

Did you know?

Asthma cases in Americans are about 75% higher today than they were in 1980.

Did you know?

Tobacco depletes the body of vitamins A, C, and E, which can result in any of the following: dry hair, dry skin, dry eyes, poor growth, night blindness, abscesses, insomnia, fatigue, reproductive system problems, sinusitis, pneumonia, frequent respiratory problems, skin disorders, weight loss, rickets, osteomalacia, nervousness, muscle spasms, leg cramps, extremity numbness, bone malformations, decayed teeth, difficulty in walking, irritability, restlessness, profuse sweating, increased uric acid (gout), joint damage, damaged red blood cells, destruction of nerves, infertility, miscarriage, and many types of cancer.

Did you know?

In 1886, William Bates reported on the discovery of a substance produced by the adrenal gland that turned out to be epinephrine (adrenaline). In 1904, this drug was first artificially synthesized by Friedrich Stolz.

Did you know?

Malaria mortality rates are falling. Increased malaria prevention and control measures have greatly improved these rates. Since 2000, malaria mortality rates have fallen globally by 60% among all age groups, and by 65% among children under age 5.

Did you know?

Women are 50% to 75% more likely than men to experience an adverse drug reaction.

For a complete list of videos, visit our video library