Who Are the Only Ones Not Affected When a Pigouvian

question 87

Multiple Choice

Who are the only ones not affected when a Pigouvian subsidy is implemented for a positive externality in a market?

• A) Producers
• B) Consumers
• C) Those affected by the externality
• D) All of these groups are affected when it becomes internalized.

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Definitions:

Binge Eating

The consumption of large quantities of food in a short period of time, often accompanied by feelings of loss of control and psychological distress.

Anorexia

is an eating disorder characterized by an obsessive fear of gaining weight and a refusal to maintain a healthy body weight.

Disorder

A disruption or dysfunction in physical or mental processes leading to distress or significant impairment in daily life.

Anorexia Nervosa

An eating disorder characterized by an intense fear of gaining weight and a distorted body image, leading to severe restriction of food intake.