Multiple Choice
-In the above figure,market equilibrium at point E yields the quantity X.The quantity is socially optimal amount.The government can achieve the optimal outcome by
A) setting the price at .
B) establishing a tax of -
per unit of the good sold.
C) establishing a tax of -
per unit of the good sold.
D) setting the price at .
Correct Answer:

Verified
Correct Answer:
Verified
Q15: Which of the following is NOT related
Q73: The theory of public choice<br>A) is the
Q123: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB2747/.jpg" alt=" A shift from
Q162: A subsidy is sometimes used by the
Q195: What is an externality? How do positive
Q198: An effluent fee is more effective when
Q206: When an Australian citizen enjoys military protection
Q318: If a nation's government determines that consumption
Q319: An externality is<br>A) a third-party benefit or
Q350: Which of the following is an example