If the government does not know the efficient level of a Pigouvian tax to correct for a negative production externality, efficiency will still be enhanced so long as the government imposes a per-unit tax.

Question

Quizplus · Accepted Answer

The Answer of If the government does not know the efficient level of a Pigouvian tax to correct for a negative production externality, efficiency will still be enhanced so long as the government imposes a per-unit tax.

If the Government Does Not Know the Efficient Level of a Pigouvian