Which of the Following Statements Is Not Correct

question 178

Multiple Choice

Which of the following statements is not correct?

• A)Patents help internalize the externalities associated with technological advances.
• B)Economists typically prefer regulations to corrective taxes because regulations provide more incentives for firms to seek continued reductions in pollution.
• C)Allowing firms to trade pollution permits will lower the total cost of reducing pollution.
• D)A big impediment to implementing the Coase theorem in many cases is high transactions costs.

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Definitions:

Metrics

Standardized measurements used to evaluate and compare the performance of processes, products, or organizations.

Assemble-to-Order (ATO)

A production strategy where products are assembled only after receiving a customer's order, allowing for customization.

Finished Goods Inventories

Stocks of completed products awaiting sale or shipment, representing one of the critical components of a company's inventory.