A tax and a regulation that have the same effect on output in the short run will have different effects in the long run._____ creates profits which encourages _____,while _____ creates losses and encourages _____.
A)Corrective taxation;entry;regulation;exit
B)Regulation;entry;corrective taxation;exit
C)Corrective taxation;exit;regulation;entry
D)Regulation;exit;corrective taxation;entry

Question

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The Answer of A tax and a regulation that have the same effect on output in the short run will have different effects in the long run._____ creates profits which encourages _____,while _____ creates losses and encourages _____.
A)Corrective taxation;entry;regulation;exit
B)Regulation;entry;corrective taxation;exit
C)Corrective taxation;exit;regulation;entry
D)Regulation;exit;corrective taxation;entry

A Tax and a Regulation That Have the Same Effect