Many Economists Believe That There Are More Efficient Ways to Deal

question 159

Multiple Choice

Many economists believe that there are more efficient ways to deal with pollution than with environmental standards because these standards do NOT:

• A) reduce pollution enough.
• B) allow reductions in pollution to be achieved at minimum cost.
• C) specify the behaviour that needs to be changed.
• D) target behaviours in a way that can be enforced.

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Definitions:

Gross Investment

The total expenditure on new capital assets plus the replacement of depreciated assets within an economy in a specific time period.

Net Domestic Product

The aggregate worth of every product and service generated inside a nation over a particular timeframe, deducting depreciation.

Gross Domestic Product

The total market value of all final goods and services produced within a country in a specific time period, indicating economic health.

Depreciation

Depreciation is the accounting process of allocating the cost of tangible assets over their useful lives, reflecting wear and tear or obsolescence.