Multiple Choice
What is the difference between a corrective tax and pollution permits
A) A corrective tax sets the price of pollution, and permits set the quantity of pollution.
B) A corrective tax provides a more efficient outcome than permits.
C) A corrective tax sets the quantity of pollution, and permits set the price of pollution.
D) Permits provide a more efficient outcome than a corrective tax.
Correct Answer:
Verified
Correct Answer:
Verified
Q17: When correcting for an externality, command-and-control policies
Q35: Most economists prefer regulation to taxation because
Q58: Government can be used to solve externality
Q95: According to the Coase theorem, the private
Q115: A technology spillover is a type of
Q186: Hikers frequently claim that livestock grazing in
Q187: Figure 10-1<br>This figure reflects the market for
Q189: Figure 10-2<br> <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB1272/.jpg" alt="Figure 10-2
Q192: Why do private markets fail to reach
Q193: When the government chooses an externality policy