Which of the following criteria should be used to evaluate if government intervention in a market for the purpose of environmental protection is justified?
A) Is the intervention program economically efficient?
B) Does the intervention program reduce pollution to zero?
C) Does the intervention program maximize economic surplus?
D) Does the intervention program minimize environmental damage?
A
You might also like to view...
Which of the following are examples of leakages?
a. government purchases, net taxes and imports b. government purchases, exports and investment spending c. net taxes, household saving and imports d. net taxes, investment spending and exports e. net exports, investment spending and net taxes
Assumptions are necessary to
A. define the specific cause and effect relationship that is being explained by social sciences. B. define a set of circumstances where a model is most likely to apply. C. make economics a social science. D. define the relationship between wants and resources under all circumstances.
A currency that is not backed by gold, silver, or any other precious commodity equal to the face value of the money is known as
A. fake money. B. weak money. C. commodity money. D. token money.
If the relationship between the change in the inflation rate and the unemployment rate is depicted by the PP curve, then the value of the unemployment rate where the PP curve crosses zero is the nonaccelerating inflation rate of unemployment.
Answer the following statement true (T) or false (F)