If External Economies Exist in the Production of a Good,the

question 40

Multiple Choice

If external economies exist in the production of a good,the government could intervene to

• A) shift the industry supply curve to the left.
• B) tax the industry to reduce production.
• C)shift the industry demand curve to the right.
• D) tax the user of the industry's product.
• E) prohibit production until the external economies are eliminated.

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Definitions:

Stereotypes

Oversimplified and generalized beliefs about a group of people that often do not reflect reality.

Programmed Decisions

Decisions that are made following established guidelines or procedures, typically for routine and recurring situations.

Spotlight Questions

Expose a decision to public scrutiny and full transparency.

Public Scrutiny

The critical observation or examination by the general public, often focusing on actions, decisions, or performance.