If a Good That Generates Negative Externalities Was Priced to Take

question 41

Multiple Choice

If a good that generates negative externalities was priced to take into account these negative externalities, then its:

• A)price would decrease and its output would increase.
• B)output would increase but its price would remain constant.
• C)price would increase and its output would decrease.
• D)price would increase but its output would remain constant.

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Definitions:

Plantation Owner

An individual who owns a large agricultural estate primarily worked by enslaved people or laborers, historically significant in the context of slavery and colonialism.

Prosperous Families

Families that have achieved a high level of wealth, success, and well-being, often contributing significantly to their communities or society at large.

Andrew Johnson

The 17th President of the United States, who served from 1865 to 1869, notable for his presidency following Abraham Lincoln's assassination and during the initial phase of Reconstruction.

Suffrage Rights

These refer to the rights of individuals to vote in elections and referendums, often expanded over time to include a broader segment of the population.