A Pigouvian Tax Is Generally Placed on Markets That Generate

question 54

True/False

A Pigouvian tax is generally placed on markets that generate positive externalities.

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Definitions:

Product

Anything that can be offered to a market to satisfy the want or need of a customer.

Cash Budget

A financial plan that forecasts the cash inflows and outflows over a specific period, typically used to assess liquidity and manage cash effectively.

Budgeted Disbursements

Projected payments planned by a company for various expenses.

Desired Balance

The optimal amount of funds an individual or business aims to maintain in an account.