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What Is the Greatest Impact of Internalizing External Costs

Question 28

Multiple Choice

What is the greatest impact of internalizing external costs? 


A)  Internalizing external costs would make pollution more profitable. 
B)  Fuel inefficient cars would still have competitive prices if their external costs were internalized. 
C)  Internalizing external costs would make consumers more aware of the true cost of goods. 
D)  Real market prices would always be cheaper if external costs were internalized.

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