Because of Their Role in Battling Problems Such as Poverty

question 2

Multiple Choice

Because of their role in battling problems such as poverty, illiteracy, hunger, and disease, charities are often called

• A)social-benefit organizations.
• B)shadow welfare agencies.
• C)defenders of the downtrodden.
• D)policy preemptors.
• E)None of the above

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Definitions:

External Costs

costs inflicted upon a third party when goods and services are produced and consumed.

Tradable Emissions Permits

Licenses to emit limited quantities of pollutants that can be bought and sold by polluters.

Pollution Permits

Licenses that allow entities to emit a specific amount of pollutants into the environment, often traded in markets.

Emissions Tax

A tax that depends on the amount of pollution a firm produces.