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Author Question: The government can act to internalize externalities by taxing goods that have negative externalities ... (Read 134 times)

APUS57

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on: Jun 30, 2018
The government can act to internalize externalities by taxing goods that have negative externalities and subsidizing goods that have positive externalities.
 a. True
  b. False
  Indicate whether the statement is true or false

Question 2

If the economy has substantial unemployment, then the inflationary costs of expansionary policy are likely to be:
 a. low, and the unemployment gains minimal.
  b. low, and the unemployment gains large.
 c. high, and the unemployment gains minimal.
  d. high, and the unemployment gains large.


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dominiqueenicolee

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Reply #1 on: Jun 30, 2018
Answer to Question 1

True

Answer to Question 2

b


APUS57

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Reply #2 on: Jun 30, 2018
Thank you


dominiqueenicolee

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Reply #3 on: Jun 30, 2018
No problemo


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