To Increase Efficiency

question 8

Multiple Choice

To increase efficiency,

• A) taxes can be used to overcome the problems created by both external benefits and external costs.
• B) subsidies can be used to overcome problems created by both external benefits and external costs.
• C) taxes can be used to overcome the problems created by external benefits, and subsidies can be used to overcome the problems created by external costs.
• D) subsidies can be used to overcome the problems created by external benefits, and taxes can be used to overcome the problems created by external costs.

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Definitions:

Ambiguous

Something that can be understood in more than one way; lacking clearness or definiteness.

Artistic Temperament

A personality profile often associated with creativity and emotionality, suggesting variability in mood and behavior among those engaged in artistic endeavors.

Incomplete Description

A partial or insufficient explanation that fails to cover all aspects or details of a subject.

Last Stage

The final phase in a process or life cycle, often implying a conclusion or the end of growth.