Cattle Manure Is an Input Often Used in Making Fertilizer

question 136

Essay

Cattle manure is an input often used in making fertilizer. Suppose a technique is discovered that can transform cattle manure into quality gasoline. What would happen in the fertilizer industry?

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Definitions:

Government Intervention

Actions taken by a government to affect the economy, which can include regulations, subsidies, tariffs, and taxes.

Efficient

The optimal allocation of resources in a manner that maximizes output or outcomes without wasting any resources.

Social Goods

Goods that benefit all members of society and are often provided by the government, such as public parks and national defense.

Collective Benefits

Advantages or positive outcomes that are shared by a group, community, or society from actions or policies, rather than by an individual alone.