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Figure 10-18

Question 20

Multiple Choice

Figure 10-18. The graph represents a corrective tax to reduce pollution. On the axes, Q denotes the quantity of pollution and P represents the price of pollution. Figure 10-18. The graph represents a corrective tax to reduce pollution. On the axes, Q denotes the quantity of pollution and P represents the price of pollution.   -Refer to Figure 10-18. The line labeled  Corrective tax  could accurately be re-labeled as A)  Demand for clean air.  B)  Demand for pollution rights.  C)  Price of pollution.  D)  Rate of subsidy.
-Refer to Figure 10-18. The line labeled "Corrective tax" could accurately be re-labeled as


A) "Demand for clean air."
B) "Demand for pollution rights."
C) "Price of pollution."
D) "Rate of subsidy."

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