Which Pricing Approach Is Being Used If a Further Tax

question 87

Multiple Choice

Which pricing approach is being used if a further tax is added to the price of a pack of cigarettes? 

• A) externalizing internal costs approach 
• B) full-cost pricing approach 
• C) user-pays approach 
• D) life-cycle cost pricing approach

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Definitions:

Natural Extrinsic Rewards

Benefits or incentives provided by the environment or context, not inherently related to the activity being performed.

Merit Pay Increases

Salary increments awarded to employees based on their performance, productivity, or achievements.

Operant Conditioning

A learning process in which the strength of a behavior is modified by reinforcement or punishment.

Ivan Pavlov

A Russian physiologist known for his work in classical conditioning, particularly his experiments with dogs, demonstrating that behavior can be conditioned.