Conventional economics looked on environmental problems as:
(Please select all that apply.)
A) Very serious issues which required specialized analysis
B) 'External costs' which could most desirably be dealt with by adjustments to market prices in the form of taxes or subsidies
C) An inevitable feature of a market economy
D) 'Side effects' of the production/consumption process

Question

Quizplus · Accepted Answer

Conventional economics often views environmental problems as 'external costs' or 'externalities' that can be addressed through market-based solutions like taxes or subsidies (B), and as 'side effects' of the production and consumption process that are not directly accounted for in the market price of goods and services (D).

Conventional Economics Looked on Environmental Problems As