Multiple Choice
Suppose that government officials have set an emissions tax to reduce pollution.Further suppose that,with the emissions tax,the marginal social cost of pollution exceeds the marginal social benefit of pollution.The emissions tax is:
A) too low.
B) too high.
C) optimal.
D) efficient.
Correct Answer:

Verified
Correct Answer:
Verified
Q24: If the marginal social benefit received from
Q25: When innovations by one firm are quickly
Q26: When the government attempts to reduce climate
Q27: Use the following to answer question:<br>Figure: Efficiency
Q28: Use the following to answer question:<br>Figure: Marginal
Q30: Pollution has _ and _.<br>A)no benefits;only costs<br>B)benefits;costs<br>C)no
Q31: A familiar example of a negative externality
Q32: The marginal social cost of pollution rises
Q33: An externality is said to exist when:<br>A)individuals
Q34: Which activity generates a negative externality?<br>A)You buy