A Number of Cities and States Have Banned Smoking in Bars

Multiple Choice

A number of cities and states have banned smoking in bars because of secondhand smoke. In cities without the ban, the bar owner decides whether smoking is permitted. If smokers have a greater willingness to pay to smoke than nonsmokers have to avoid smoke, then bar owners will ______ smoking, which is an ______ outcome.

A) ban; efficient
B) ban; inefficient
C) permit; efficient
D) permit; inefficient