Which of the following is the most appropriate response of public policy to a negative externality like pollution?
A) modernize, update, and restore homes in run down neighborhoods to decrease littering
B) find ways to account for the social costs of the negative externality in economic decisions
C) encourage high standards of public education to increase innovation capability of youth
D) assist the private party creating the negative externality to receive more social benefits
Correct Answer:
Verified
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