Figure 10-7 -Refer to Figure 10-7.Which of the Following Is Not Necessary

question 137

Multiple Choice

Figure 10-7

-Refer to Figure 10-7.Which of the following is not necessary in order for the corrective tax and pollution permit to have equivalent effects?

• A)Pᴮ must be equivalent to the corrective tax.
• B)Qᴬ must be equivalent to the amount of pollution allowed to the pollution permit holders.
• C)The equilibrium price and quantity of pollution must be the same in both graphs.
• D)The amount of pollution emitted by each firm must be the same.

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Definitions:

Pessimistic Explanatory

A cognitive style where individuals tend to attribute negative events to stable, internal, and global causes, expecting future failures.

Global

Relating to or encompassing the whole world; worldwide in scope or application.

Stable

Refers to something that is firm, steady, and not likely to move or change, often used in the context of conditions or situations.

Bipolar Disorder

A mental disorder marked by alternating periods of elation (mania) and depression.