All of the following illustrate how government can correct for positive externalities EXCEPT
A) subsidies.
B) regulation.
C) government financing and production.
D) charging effluent fees.

Question

Quizplus · Accepted Answer

Charging effluent fees is a way for government to correct negative externalities, not positive externalities. Positive externalities are beneficial spillover effects that result from a market transaction, while negative externalities are harmful spillover effects.

All of the Following Illustrate How Government Can Correct for Positive