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Micro 6.4-Correcting a Negative Externality

Posljednje ažuriranje over 1 year ago

6

Instrukcije

Assume the following graph represents some sort of market externality.

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Pitanje 1

1.

What type of externality is this? (Select all that apply)

Positive externality in consumption

Negative externality in consumption

Positive externality in production

Negative externality in production

Pitanje 2

2.

Pitanje 3

3.

Pitanje 4

4.

What type of government policy should be used to correct this externality? (NO EXPLANATION! JUST ANSWER THE QUESTION!)

Pitanje 5

5.

Provide 2 letters that represent your answer to #4. (More than one answer is possible, but I only want ONE pair of letters.)

Pitanje 6

6.