Refer to the Figure Below

question 32

Multiple Choice

Refer to the figure below. Assume the production of the product imposes a cost on society of €7.00 per unit. If the free market equilibrium output is 50 units, the government should

• A) impose a tax of €2.50 per unit.
• B) reduce the output of the firm by approximately 39 units.
• C) impose a lump-sum tax of €350 per period.
• D) impose a tax of €7.00 per unit.

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Definitions:

Recruitment

The process of finding, screening, and hiring candidates for a job or organizational role.

Aspirations

Hopes or ambitions of achieving something.

Ethical

Pertaining to or dealing with morals or the principles of morality; adhering to the standards of what is right or just in behavior.