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Figure 10-17 -Refer to Figure 10-17. How Large Would a Corrective Tax

Question 9

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Figure 10-17 Figure 10-17 -Refer to Figure 10-17. How large would a corrective tax need to be to move this market from the equilibrium outcome to the socially-optimal outcome? A) An amount equal to P' minus P. B) An amount equal to P'. C) An amount equal to P. D) An amount equal to the external cost.
-Refer to Figure 10-17. How large would a corrective tax need to be to move this market from the equilibrium outcome to the socially-optimal outcome?


A) An amount equal to P' minus P.
B) An amount equal to P'.
C) An amount equal to P.
D) An amount equal to the external cost.

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