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Which of the Following Is Correct Advice for a Patient

question 6

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Which of the following is correct advice for a patient with type II diabetes undergoing an exercise program?


Definitions:

Pigouvian Tax

A tax imposed on activities that generate negative externalities, intended to correct an undesirable or inefficient market outcome by being equal in value to the externality.

Positive External Benefits

benefits that result from a product or service's use that affect someone other than the direct buyer or seller, often leading to social gains.

Optimal Amount

The quantity of a good or service that achieves the best possible balance between costs and benefits.

Pigouvian Tax

A tax levied on activities that generate negative externalities, intended to correct the market outcome by internalizing the external costs.

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