Automobile Emissions Generate Pollution and Cause Higher Costs and Discomfort

question 36

Multiple Choice

Automobile emissions generate pollution and cause higher costs and discomfort to residents of a city.In this case:

• A) too few of society's resources are being used to operate automobiles.
• B) the externality can be internalized into the market by imposing a specific tax on drivers.
• C) there is an external benefit to society from operating automobiles.
• D) the externality can be internalized into the market by granting a specific subsidy to drivers.

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Definitions:

Charges

Fees or financial obligations imposed on an individual or entity for services, penalties, or debts.

Certified Check

A check guaranteed by a bank, verifying that the signer has enough funds available and that the signature is genuine.

Cashier's Check

A check issued by a bank, drawn on its own funds and signed by a cashier, guaranteeing payment.

Liable

The condition of being legally accountable for specific actions or responsibilities, particularly in relation to debts or legal duties.