Multiple Choice
If the government wishes to encourage firms to internalize externalities, they should ________ activities resulting in negative externalities and ________ activities resulting in positive externalities
A) tax; subsidize
B) subsidize; tax
C) ban; generate
D) place an injunction against; tax
Correct Answer:

Verified
Correct Answer:
Verified
Q265: Refer to the information in Figure 16.5
Q266: Refer to the information provided in Figure
Q267: The field of _ is concerned with
Q268: Refer to the information provided in Figure
Q269: _ arises when people realize they will
Q270: If firms have to account for external
Q271: Liability rules are laws that require party
Q272: Relating to the Economics in Practice on
Q274: There are 500 families in a neighborhood
Q275: According to _, an efficient mix of