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An Advantage of Pollution Taxes That Is NOT Offered by Command-And-Control

Question 36

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An advantage of pollution taxes that is NOT offered by command-and-control policies is that


A) with a pollution tax zero pollution is produced.
B) a pollution tax decreases the price of the polluting good.
C) with a pollution tax, firms have flexibility in their choice of strategies to use to clean up pollution.
D) a pollution tax decreases the demands for goods that cause pollution.

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