To make a market efficient in the presence of a negative externality,a tax could be imposed that is equal to the marginal
A) social cost
B) private benefit
C) social cost minus marginal private cost
D) social cost minus marginal private benefit
E) private benefit minus marginal social benefit
Correct Answer:
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Q73: One way to achieve efficiency in a
Q74: Q75: According to the Coase Theorem Q76: A market with a negative externality Q77: Which of the following conditions is necessary Q79: A subsidy equal to the marginal private Q80: Because of the free rider problem Q81: Which of the following is an example Q82: If a good is nonexcludable, Q83: If consumption of a good creates positive
A)when side payments
A)will be
A)side payments
A)the providing it
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