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    Microeconomics Theory with Applications
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    Exam 18: Assymmetric Information, the Rules of the Game, and Externalities
  5. Question
    Which of the Following Is a Pareto- Improving Solution for an Externality
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Which of the Following Is a Pareto- Improving Solution for an Externality

Question 6

Question 6

Multiple Choice

Which of the following is a Pareto- improving solution for an externality?


A) private bargaining
B) property condemnation
C) increased taxation
D) assigning property rights

Correct Answer:

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