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Governments Can Increase the Consumption of a Product That Creates

Question 129

Multiple Choice

Governments can increase the consumption of a product that creates positive externalities by


A) subsidizing the production of the product so that the supply is increased and market price is reduced.
B) taxing the production and consumption of the product.
C) convincing everyone to consume the good.
D) assigning property rights to the producers of the product.

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