« previous next »

Author Question: When external costs are present and government imposes a tax equal to the external marginal cost, ... (Read 114 times)

JMatthes

  • Hero Member
  • *****
  • Posts: 578
on: Jun 29, 2018
When external costs are present and government imposes a tax equal to the external marginal cost, then efficiency can be achieved.
 
  Indicate whether the statement is true or false

Question 2

Explain what a black market is and how it functions. What is a black market generally a response to?
 
  What will be an ideal response?


asware1

  • Sr. Member
  • ****
  • Posts: 318
Reply #1 on: Jun 29, 2018
Answer to Question 1

TRUE

Answer to Question 2

It is a market in which illegal trading takes place at market-determined prices. It's usually the result of the government imposing a price ceiling which results in a shortage of that particular product. The black market is a way for consumers and firms to get around the restriction.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
« previous next »
 

Did you know?

Less than one of every three adults with high LDL cholesterol has the condition under control. Only 48.1% with the condition are being treated for it.

Did you know?

Critical care patients are twice as likely to receive the wrong medication. Of these errors, 20% are life-threatening, and 42% require additional life-sustaining treatments.

Did you know?

More than 4.4billion prescriptions were dispensed within the United States in 2016.

Did you know?

Drug abusers experience the following scenario: The pleasure given by their drug (or drugs) of choice is so strong that it is difficult to eradicate even after years of staying away from the substances involved. Certain triggers may cause a drug abuser to relapse. Research shows that long-term drug abuse results in significant changes in brain function that persist long after an individual stops using drugs. It is most important to realize that the same is true of not just illegal substances but alcohol and tobacco as well.

Did you know?

In 2010, opiate painkllers, such as morphine, OxyContin®, and Vicodin®, were tied to almost 60% of drug overdose deaths.

Feedforward events can be conditioned to external stimuli. Feedforward events can be conditioned to external stimuli.
external combustion engine external combustion engine
scanning electron micrograph showing an ovum (pink) released by the ovary at ovulation surrounded by scanning electron micrograph showing an ovum (pink) released by the ovary at ovulation surrounded by
External beam radiotherapy. External beam radiotherapy.
High rates of rural poverty have been a part of the United States from its origin to the present. ... High rates of rural poverty have been a part of the United States from its origin to the present. ...
Torque is a twisting force equal to the distance from the pivot point times the force applied ... Torque is a twisting force equal to the distance from the pivot point times the force applied ...
Video: Glucose anabolism reactions: Glycogenolysis and Gluconeogenesis

For a complete list of videos, visit our video library