Which of the Following Might Be a Method That the Government

question 47

Multiple Choice

Which of the following might be a method that the government could use to correct a negative externality?

• A) an effluent fee on waste from the production of goods that create negative externalities
• B) government subsidies to producers of goods that create negative externalities
• C) financing additional production of goods that create negative externalities
• D) encouraging overallocation of resources of production of goods that create negative externalities

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Definitions:

Persuasive Message

A communication designed to convince or influence the audience to adopt a specific point of view or take a particular action.

Logic

The study of principles of reasoning, especially of the structure of propositions and the way in which they relate to each other to form valid arguments.

Hypothesis

Testable explanation of a natural phenomenon.

Natural Phenomenon

A naturally occurring event or occurrence that can be observed in the physical world, not caused by humans.