Governments Should Always Attempt to Solve Externality Problems That Cannot

question 28

True/False

Governments should always attempt to solve externality problems that cannot be solved through private actions.

---

Definitions:

Productive

The ability to produce a substantial amount of goods or services, or doing so efficiently.

Wage Differentials

Wage differentials are the variations in wage rates due to the differences in occupation, industry, geographic location, or within a company, among other factors.

College Graduates

People who have finished their studies and earned a degree from a higher education institution.

Labor Supply Curve

The labor supply curve illustrates the relationship between the wage rate and the quantity of labor that workers are willing to offer at different wage rates.