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Requiring Deposits on Soft Drink Containers Is an Example of Using

Question 32

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Requiring deposits on soft drink containers is an example of using the price system to eliminate an external diseconomy because


A) consumers prefer throwaway cans.
B) it shifts pollution costs from individuals to society.
C) it makes the drinker pay for the disposal costs of the can.
D) the deposit allows the financing of trash baskets.
E) the private costs exceed the social costs.

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