Which of the Following Might Be a Method That the Government

Multiple Choice

Which of the following might be a method that the government could use to correct a negative externality?

A) an effluent fee on waste from the production of goods that create negative externalities
B) government subsidies to producers of goods that create negative externalities
C) financing additional production of goods that create negative externalities
D) encouraging overallocation of resources of production of goods that create negative externalities