All of the following illustrate how government can correct for positive externalities EXCEPT
A) subsidies.
B) regulation.
C) government financing and production.
D) charging effluent fees.
Correct Answer:
Verified
Q35: A negative externality such as pollution can
Q36: A situation in which a benefit or
Q37: Society is likely to over-allocate resources to
Q38: When a paper producer pollutes the air,
Q39: Pollution is caused by a market failure,
Q41: Q42: To correct for the underproduction of products Q43: An externality exists when Q44: A government action that can help correct Q45: ![]()
A) goods are sold![]()
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