Which of the following policies is the government most inclined to use when faced with a positive externality?
a. taxation
b. permits
c. subsidies
d. usage fees
c
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The abbreviation "GDP" stands for
A) Gross Domestic Prices. B) General Domestic Prices. C) Gross Domestic Product. D) Great Domestic Prices. E) Government's Domestic Politics.
The Board of Governors of the Federal Reserve System has
A) 12 members appointed by the president of the United States. B) seven members appointed by the president of the United States. C) seven members appointed to life terms. D) seven members elected by the public. E) 12 members elected by the public.
Use the following statements to answer this question: I. A network externality is a situation in which each individual's demand depends on the purchases of other buyers. II
Network externalities are mainly positive effects resulting from the actions of others, while ordinary externalities are mainly negative effects resulting from the actions of others. A) I and II are true. B) I is true and II is false. C) I is false and II is true. D) I and II are false.
The more liquid markets are the:
A. more people are willing to save, and the higher the amount of investment occurs. B. less people are willing to save, and the higher the amount of investment occurs. C. more people are willing to save, and the lower the amount of investment occurs. D. less people are willing to save, and the lower the amount of investment occurs.