Many States Charge a 10-Cent Deposit on Every Can of Soda

question 107

Multiple Choice

Many states charge a 10-cent deposit on every can of soda sold.A purchaser pays an extra 10 cents per can and will get his money back by returning the empty can to a store.This policy encourages recycling by

• A)increasing the supply of recyclable materials.
• B)shifting in the demand curve for canned soda.
• C)raising the opportunity cost of discarding empty cans.
• D)taxing the production of canned soda.

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Definitions:

Ratification

Ratification is the formal approval or confirmation of an action or agreement, often used in the context of treaties, contracts, or laws.

Promoters

Individuals or companies responsible for establishing a corporation or business venture, including raising capital and completing legal formalities.

Personal Liability

involves an individual's legal responsibility for debts or obligations, potentially affecting personal assets.

Novation

A legal process by which an existing contract or obligation is replaced with a new one, releasing a party from the original agreement.