Ariesa and Her Husband Are Both Managers at a Company

question 45

Multiple Choice

Ariesa and her husband are both managers at a company.Based on the text,which of the following is NOT a reasonable prediction?

• A)Ariesa will take more time off from work to care for family members.
• B)Ariesa will earn less than her spouse.
• C)When Ariesa's husband becomes a father,the boss may give him a raise.
• D)When Ariesa becomes a mother,the boss may give her a raise.

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Definitions:

Pollution

The presence or introduction into the environment of substances or things that have harmful or poisonous effects.

Pigouvian Subsidy

A financial incentive given by the government to encourage activities that have positive externalities, or beneficial effects on society that are not reflected in the market price.

Free Market

An economic system where prices for goods and services are determined by the open market and consumers, with minimal government intervention.

Optimal Pigouvian Tax

A type of tax designed to correct the negative externalities of a market activity, set at a level that equates the marginal social cost of the externality with the marginal private cost.