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By Allowing an Income-Tax Deduction for Charitable Contributions, the Government

Question 366

Multiple Choice

By allowing an income-tax deduction for charitable contributions, the government


A) encourages a private solution to a particular positive-externality problem.
B) discourages a private solution to a particular positive-externality problem.
C) encourages a private solution to a particular negative-externality problem.
D) discourages a private solution to a particular negative-externality problem.

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