Assume That Air Pollution from a Copper Smelter Imposes External

question 253

Multiple Choice

Assume that air pollution from a copper smelter imposes external costs on people who live near the smelter.If the victims of the pollution could not legally enforce the right of their property not to be damaged, the amount of pollution reduction

• A)would be significantly less than if the owners of the smelter were legally liable for damages.
• B)would be less than the amount at which the marginal benefit of pollution reduction equaled the marginal cost.
• C)would be the same as if it would be if the owners of the smelter were legally liable.
• D)would be too small; the government would have to intervene to bring about an efficient outcome.

---

Definitions:

Democratic Presidents

Leaders of the United States who are members of the Democratic Party, one of the two major political parties in the country.

Enslaved Americans

People forced into servitude without freedom, predominantly Africans and African Americans, in the United States prior to the abolition of slavery.

Freedom

The condition or right of being able or allowed to do, say, think, or pursue life activities without undue restraint or oppression.

Disputed Election of 1876

A controversial U.S. presidential election marked by widespread electoral fraud and disputes, ultimately resolved through the Compromise of 1877.