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    Principles of Microeconomics Study Set 10
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    Exam 10: Externalities
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    Corrective Taxes
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Corrective Taxes

Question 487

Question 487

Multiple Choice

Corrective taxes


A) encourage consumers to avoid sales taxes by shopping online.
B) are frequently used to discourage imports.
C) are less efficient than direct regulation.
D) give factory owners an economic incentive to reduce pollution.

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