The Biggest Difference Between Using a Pigovian Tax or a Tradable

question 26

Multiple Choice

The biggest difference between using a Pigovian tax or a tradable allowance to correct for a negative externality is:

• A)the government collects revenues from a Pigovian tax, whereas a tradable allowance allows private parties to trade quota rights on their own.
• B)a Pigovian tax creates an efficient outcome, while a tradable allowance does not.
• C)a Pigovian tax maximizes total surplus, whereas a tradable allowance does not.
• D)All of these are differences between Pigovian taxes and tradeable allowances.

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Definitions:

PLC Timers

Refers to programmable logic controller timers, which are software-based clocks that enable time-based control in automation processes.

Input Instructions

Guidelines or commands given to a system or device specifying the data to be used for processing or operations.

RTO Timer

An abbreviation for "Retentive Timer On," a type of timer in PLC programming that retains its value even after the control power is lost.

Accumulated Value

The total sum or aggregation of individual values over a period of time or through a series of operations.