Suppose That a Steel Factory Emits a Certain Amount of Air

question 98

Multiple Choice

Suppose that a steel factory emits a certain amount of air pollution and that this pollution constitutes a negative externality.If this market is not required to internalise this externality:

• A)the supply curve would adequately reflect the marginal social cost of production
• B)consumers will be required to pay a higher price for steel than they would have if the externality were internalised
• C)the market equilibrium would not be the socially optimal quantity
• D)producers will produce less steel than they otherwise would have if the externality were internalised

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Definitions:

Empathy

The capacity to comprehend and empathize with someone else's emotions.

Stress Tolerance

The capacity to endure stress and react positively in challenging situations without becoming overwhelmed.

Adaptability Competency

The ability to be flexible and adjust to changing conditions or environments effectively.

Stress Tolerance

Capacity to withstand psychological and emotional stress without succumbing to adverse effects.