Suppose That a Vehicle Is Invented Such That It Emits

question 19

Multiple Choice

Suppose that a vehicle is invented such that it emits no pollutants into the atmosphere.To achieve an efficient market outcome,the government must

• A) allow other vehicles that emit pollutants into the atmosphere, as long as vehicle owners pay all the costs associated with their pollution.
• B) outlaw SUVs and other vehicles that pollute the environment.
• C) be the sole producer of that vehicle.
• D) require all auto makers to produce the vehicles that produce zero emissions.

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Definitions:

Normative Influence

The impact of societal norms and expectations on an individual's behavior, often leading to conformity.

Informational Influence

The effect of others' opinions and knowledge on an individual's own attitudes, beliefs, and actions, based on the desire to be correct.

Virtual Groups

Groups of individuals who interact via digital platforms and communication technologies, typically for a shared purpose or goal, without meeting in physical spaces.

Attribution Process

The cognitive process by which people explain the causes of behavior and events.