In the figure above, if a pollution tax is imposed that is equal to the marginal external cost of pollution, then when the market is in equilibrium, the deadweight loss is ________ thousand per month

A) $250
B) $125
C) $150
D) $50
E) zero


E

Economics

You might also like to view...

Which of the following terms describes how a good is produced in stages?

a. supply chain b. value chain c. supply trade d. value trade

Economics

Which of the following groups of people is eligible for unemployment insurance?

a. people who were laid off in a recession b. people who have not had a job before c. people who were fired d. people who quit their job

Economics

If the U.S. government's borrowing needs increase, all other factors constant the:

A. supply of bonds will increase. B. supply of bonds and the demand for bonds will both increase. C. demand for bonds will decrease. D. price of bonds will increase.

Economics

Job analysis is important for both managers and employees because it is

A. the basis for a work-related rationale for pay differences. B. an important result of the job evaluation process. C. required under the Fair Labor Standards Act. D. required for performance appraisal.

Economics