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    Exam 5: Externalities- Problems and Solutions
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    A Government Payment to an Individual or Firm That Lowers
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A Government Payment to an Individual or Firm That Lowers

Question 20

Question 20

Multiple Choice

A government payment to an individual or firm that lowers the cost of consumption or production,respectively,is referred to as which of the following?


A) Coasian compensation
B) subsidy
C) tax
D) free rider problem

Correct Answer:

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