If a Good's Production Process Results in Pollution and the Government

question 180

Multiple Choice

If a good's production process results in pollution and the government taxes producers to pay for cleanup costs, then

• A)consumers will purchase more of the good.
• B)the price of the good will decrease.
• C)supply will decrease.
• D)more resources will be devoted to the product.
• E)the quantity of the good produced will increase.

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Definitions:

Placebo

A safe tablet, medication, or operation given primarily for its mental comfort to the patient, rather than any physical impact.

Control Group

In experimental research, a group of subjects that does not receive the experimental treatment and is used as a baseline to compare the effects of the treatment.

Diabetes

A chronic condition characterized by high levels of sugar in the blood, due to the body's inability to produce or effectively use insulin.

Experimental Group

In research, the group that receives the variable being tested, contrasted with the control group.