When Farmers Raise Hogs,there Are a Number of External Costs

question 59

Multiple Choice

When farmers raise hogs,there are a number of external costs.In particular,hogs generate methane gas.If the marginal external cost is $100 per hog and the government imposes a tax of $200 per hog,then at the equilibrium price and quantity of hogs:

• A)too few hogs will be raised.
• B)the price will be less than the marginal social cost.
• C)the price will be less than the marginal social benefit.
• D)the price will be less than the marginal cost to hog farmers.

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Definitions:

Informed Consent

A legal and ethical requirement ensuring individuals are fully aware of and understand the potential risks and benefits before agreeing to undergo a medical procedure or participate in a research study.

Internal Validity

The extent to which a study accurately demonstrates a cause-and-effect relationship between variables.

External Validity

The extent to which the results of a study can be generalized to other situations and to other people.

Individualized Approach

A method tailored to meet the unique needs of an individual, considering their personal circumstances, preferences, and characteristics.