In Order to Induce a More Socially Optimal Level of Output

question 12

Multiple Choice

In order to induce a more socially optimal level of output governments can __________goods associated with negative externalities and__________ goods associated with positive externalities.

• A) tax; subsidise
• B) subsidise; tax
• C) subsidise; subsidise
• D) tax; tax

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Definitions:

More Resources

Refers to an increase in the availability of materials, finances, or other assets that are necessary for achieving objectives or completing tasks.

Recipes on Box

Instructions for preparing meals printed on the packaging of food products, adding value and convenience for consumers.

General Mills

An American multinational manufacturer and marketer of branded consumer foods sold through retail stores.

Defensive Strategy

A business approach aimed at reducing risk, protecting market share, or countering competitive threats, typically through measures like cost-cutting, innovation, or partnerships.