In the Figure Above,if a Pollution Tax Is Imposed That

question 179

Multiple Choice

In the figure above,if a pollution tax is imposed that is equal to the marginal external cost of pollution,then at the equilibrium,marginal social cost would ________ marginal benefit,and the quantity of chemical produced would be ________.

• A) exceed; above the efficient quantity
• B) exceed; below the efficient quantity
• C) be below; above the efficient quantity
• D) be below; below the efficient quantity
• E) equal; efficient

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Definitions:

Meaning

The significance or interpretation of a thing, symbol, or event; the underlying purpose or concept.

Rhesus Factor

A protein substance on the surface of red blood cells that can cause immune response differences, significant in blood transfusion and pregnancy.

Abbreviation

A shortened form of a word or phrase, used to simplify writing and speech.

Pneumocystis Carinii Pneumonia

A severe form of pneumonia caused by the fungus Pneumocystis jirovecii, particularly affecting individuals with weakened immune systems.