Pigouvian Subsidization

question 17

Multiple Choice

Pigouvian subsidization

• A) Involves the use of taxes or fees to remedy negative externalities
• B) Involves the use of subsidies to remedy negative externalities
• C) Is a legal principles requiring a party who takes an action that harms others to compensate the affected parties for some or all of their losses
• D) Requires that victims of an externality pay a tax to the producers of the externality

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Definitions:

Visual Aid

Tools such as charts, videos, or models used to enhance the understanding or presentation of information.

Idea Relationship

The connection between concepts or the way in which ideas are linked together.

Mind Mapping

A visual form of note-taking that involves drawing diagrams that represent ideas and concepts around a central subject.

Major Thoughts

Key ideas or significant opinions that are central to a discussion or text.