If a Tin of Sardines Creates a Noxious Odor for Non-Sardine-Eaters

question 5

Multiple Choice

If a tin of sardines creates a noxious odor for non-sardine-eaters equivalent to $1 per tin, a $1 per tin tax on sardines would:

• A) create a deadweight loss, as all taxes do, and correct the odorous externality.
• B) decrease deadweight loss but fail to correct the odorous externality.
• C) create a deadweight loss and fail to correct the odorous externality.
• D) decrease deadweight loss by correcting the odorous externality.

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Definitions:

Dacryocystitis

An infection of the tear sac (dacryocyst) at the corner of the eye, leading to inflammation and often blockage of the tear duct.

Lacrimal Passage

A drainage system for tears from the eye into the nasal cavity, which includes the lacrimal ducts and sac.

Glaucoma

A group of eye conditions that damage the optic nerve, often resulting in vision loss and blindness.

Proptosis

The protrusion or forward displacement of the eye from its orbit, which can result from trauma, tumors, or thyroid eye disease.