How Can the Government Internalize a Positive Externality

question 104

Multiple Choice

How can the government internalize a positive externality

• A)by taxing production, which would decrease supply
• B)by taxing production, which would increase supply
• C)by subsidizing production, which would decrease supply
• D)by subsidizing production, which would increase supply

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Definitions:

Montessori

A method of education that is based on self-directed activity, hands-on learning, and collaborative play.

Creative Expression

The process of conveying or representing an idea, emotion, or experience through imaginative skill or originality.

Social Forces

External societal factors that influence individuals' behaviors, decisions, and societal trends.

Biological Driven

Motivated or influenced strongly by biological needs or instincts.