If the government wanted to efficiently limit the emission of carbon monoxide by all firms to exactly 4 million tons it could
A) issue rights to pollute worth 4 million tons and let the firms trade those rights in a market.
B) appeal to firms' environmental conscience to pollute less.
C) subsidize production.
D) rely on the Coase Theorem.
A
You might also like to view...
The substitution effect of a wage increase is observed when
A) leisure's higher opportunity cost causes workers to take more leisure and work less. B) leisure's higher opportunity cost causes workers to take less leisure and work more. C) the higher wage income causes workers to take more leisure and work more. D) the higher wage income causes workers to take more leisure and work less.
A consumer values a car at $525,00 . and a producer values the same car at $485,000 . If sales tax is 8% and is levied on the buyer, then the buyers top dollar price is
a. $525,000 b. $523,800 c. $485,000 d. $486,111
The members of the Federal Reserve Board of Governors serve
a. 6-year terms b. 4-year terms c. 10-year terms d. 14-year terms e. 2-year terms
Increases in government expenditures and large budget deficits are projected for 2014-2020 . If the economic recovery is weak and growth is sluggish during this decade, this will be
a. supportive of the Keynesian view, but inconsistent with the crowding-out, new classical, and supply-side theories. b. inconsistent with the Keynesian view, but supportive of the crowding-out, new classical, and supply-side theories. c. inconsistent with both Keynesian and non-Keynesian theories. d. supportive of both Keynesian and non-Keynesian theories.