Governments Can Increase the Consumption of a Product That Creates

question 129

Multiple Choice

Governments can increase the consumption of a product that creates positive externalities by

• A) subsidizing the production of the product so that the supply is increased and market price is reduced.
• B) taxing the production and consumption of the product.
• C) convincing everyone to consume the good.
• D) assigning property rights to the producers of the product.

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Definitions:

Textbook's Authors

Individuals who write and compile educational content and materials into textbooks for academic or instructional purposes.

Decades Ago

Referring to a time period of ten years or more in the past.

Years Ago

A term used to refer to a specific number of years back from the current date.

Islamic Fundamentalist

An Islamic fundamentalist is someone who adheres strictly to the foundational principles of Islam and often seeks to implement sharia law in societal governance.