If an electric power plant does not bear the entire cost of the pollution it emits, it will
a. not emit any pollution so as to avoid the entire cost of the pollution.
b. emit lower levels of pollution.
c. emit an acceptable level of pollution.
d. emit too much pollution.
d
You might also like to view...
Which of the following would not be classified as an oligopolistic industry?
A) Defense contractors. B) The recorded music industry. C) The tobacco industry. D) The women's clothing industry.
The set of skills, knowledge, experience, and talent that determine people's productivity as workers is called:
A. physical capital. B. investment. C. human capital. D. educational training.
Which of the following is an implicit cost of going to college?
a. tuition and fees b. books, computer equipment c. income lost from not being able to work full time d. future income e. room and board
Answer the following statements true (T) or false (F)
1. Production subsidies are a way of internalizing external costs among polluting firms. 2. In dealing with market failures, the government always bases its decisions on economic analysis of marginal cost and marginal benefit. 3. An effective antipollution policy from the economic perspective requires that all pollution be eliminated and banned. 4. Because in any period of time and in any region the quantity of pollutants that can be absorbed by nature is fixed, the supply of "pollution rights" in a cap-and-trade system will be perfectly elastic.