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When Government Bodies Use Their Power to Impose Limits on How

Question 44

Multiple Choice

When government bodies use their power to impose limits on how much of a resource is consumed:


A) they can enhance efficiency in markets for common resources.
B) they will always cause deadweight loss.
C) they must first decide on the "right" amount for the public to consume.
D) they often have failed to first attempt the use of social norms to correct the problem.

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