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    Business
  3. Study Set
    Economic Principles
  4. Exam
    Exam 8: Externalities, the Environment, and Public Goods
  5. Question
    _____ Is a Tax Levied on Activities That Generate a Negative
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_____ Is a Tax Levied on Activities That Generate a Negative

Question 3

Question 3

Multiple Choice

_____ is a tax levied on activities that generate a negative externality so that the externality is considered in the decision making.


A) An environmental tax
B) A corrective tax
C) A sales tax
D) A property tax

Correct Answer:

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