If two firms pollute, and the increase in costs to Firm A from decreasing pollution is equal to the decrease in costs to Firm B from increasing pollution:
A. the firms cannot benefit from trading the right to pollute.
B. the firms can benefit by trading the right to pollute.
C. while both firms can benefit from trading, there is no way for them to determine an agreeable price.
D. both firms will stop polluting.
Answer: A
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Taxes that governments place on imported goods for reasons such as protecting sensitive industries, influencing humanitarian practices, and protecting against dumping are called ____________.
a. tariffs b. penalties c. restrictions d. limits
Starting from the 1990s, there was a significant shift toward
A. granting employees narrower decision authority and more specialized functions. B. granting employees narrower decision authority and less specialized functions. C. granting employees broader decision authority and less specialized functions. D. granting employees broader decision authority and more specialized functions.
Until the passage of the Airline Deregulation Act of 1978, the Civil Aeronautics Board controlled all of the following except
A. fares. B. assigned routes. C. profits. D. entry into the industry.
If a price ceiling of $8 were placed in the market in the graph shown:
A. a shortage of 23 would occur. B. a shortage of 7 would occur. C. a shortage of 8 would occur. D. a shortage of 15 would occur.