A Pollution- Control Policy That,in Principle,can Perfectly Internalize Pollution Externalities

question 62

Multiple Choice

A pollution- control policy that,in principle,can perfectly internalize pollution externalities is

• A)emission limits.
• B)moral suasion.
• C)an emissions tax.
• D)fines for firms that pollute over a certain amount.
• E)None of the above can internalize the externality.

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Definitions:

Value Of The Dollar

This refers to the purchasing power of the U.S. dollar, indicating how much goods and services one dollar can buy, both domestically and internationally.

Foreign Products

Goods or services produced in one country and sold or traded in another.

Demand

A schedule of quantities of a good or service that people will buy at different prices; represented by D.

Domestic Interest Rates

The rate of interest charged by banks on loans and offered on deposits within a country's borders.