The devices the government can use to achieve a more efficient allocation of resources in the presence of external benefits include all of the following except
A)intellectual property rights.
B)subsidies.
C)public production.
D)pollution permits.
E)patents.

Question

Quizplus · Accepted Answer

Pollution permits are typically used to address negative externalities, such as pollution, rather than to promote positive externalities or external benefits. The other options (intellectual property rights, subsidies, public production, and patents) can encourage activities with external benefits.

The Devices the Government Can Use to Achieve a More