If People Took External Costs Like Pollution into Consideration

question 36

Multiple Choice

If people took external costs like pollution into consideration:

• A) they would consume less of the goods causing these externalities.
• B) they would act in a way that is optimal from a societal perspective
• C) the markets for these goods creating such externalities would generate greater surplus.
• D) All of these statements are true.

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Definitions:

Direct Approach

A communication style or method that is straightforward and explicit, without evasion or complication.

Oversimplified

Describing a complex issue or problem in a way that makes it seem simpler than it actually is, often missing out on important details.

Main Idea

The central or most important concept, point, or message that an author wants to convey in a text or communication.

Evidence Support

The provision of factual information, data, or references to back up claims, propositions, or theories, enhancing their credibility and persuasiveness.