For a common resource, efficiency requires that the ________ equals the ________.
A) marginal private benefit; marginal private cost
B) marginal social benefit; marginal social cost
C) marginal private benefit; marginal social benefit
D) marginal social cost; marginal private cost
Question 2
Albert, Betty, and Cecile live in Norland. Their annual incomes and the amounts they pay in income tax are shown in the table below.
Income Tax
Albert 40,000 8,000
Betty 30,000 4,500
Cecile 60,000 18,000
The income tax in Norland is
A) proportional.
B) fair.
C) regressive.
D) progressive.