In Order to Achieve a Socially Optimal Level of Output

question 106

Multiple Choice

In order to achieve a socially optimal level of output, goods that entail positive externalities should be:

• A)required.
• B)subsidized.
• C)taxed.
• D)deregulated.

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Definitions:

Blistering Sunburns

Severe sunburns characterized by the formation of blisters due to overexposure to ultraviolet radiation, indicating a second-degree burn.

Impetigo

A highly contagious bacterial skin infection characterized by red sores, mainly affecting children.

Eczema

A group of medical conditions causing inflamed, itchy, cracked, and rough skin patches.

Diaper Dermatitis

A common form of inflamed skin (dermatitis) that looks like patches of inflamed skin on the buttocks, thighs, and genitals, caused by prolonged exposure to a dirty diaper.