A Corrective Tax

question 34

Multiple Choice

A corrective tax

• A)can be used to internalize a negative externality.
• B)imposed on sellers shifts the supply curve to the left.
• C)imposed on buyers shifts the demand curve to the left.
• D)All of the above are correct.

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Definitions:

Antidiuretic Hormone

A hormone that regulates water balance in the body by controlling the amount of water reabsorbed by the kidneys.

Aldosterone

A steroid hormone produced by the adrenal glands that regulates sodium and potassium balance in the blood, influencing blood pressure and fluid balance.

Adrenal Cortex

The outer part of the adrenal gland that produces essential hormones like cortisol and aldosterone, which regulate metabolism, blood pressure, and stress response.

Hypotonic

Describes a solution that has a lower osmotic pressure than another fluid, often causing cells to swell as water moves into them.