Suppose a Firm Pollutes a River When It Produces a Product.To

question 55

Multiple Choice

Suppose a firm pollutes a river when it produces a product.To achieve the efficient amount of output,a government could impose a ________ that equals the ________ of the pollution.

• A) pollution charge; marginal social cost
• B) pollution charge; marginal external cost
• C) pollution tax; marginal social cost
• D) pollution tax; marginal external cost
• E) pollution subsidy; marginal social cost

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Definitions:

Navistar Diamond Plus

A designation for a series of engines produced by Navistar, known for their endurance and used in a variety of commercial vehicles.

FET Switched Circuits

Electronic circuits where field-effect transistors (FETs) are used as switches to control electrical current flow.

Characteristic Impedance

A measure of how a conductor appears (regardless of length) to a high-frequency signal; for instance, a truck J1939 data backbone has a characteristic of 120 ohms. It cannot be measured with an ohmmeter.

J1939 Data Bus

A communication protocol based on CAN (Controller Area Network) used for the electronic control system of heavy-duty vehicles to transmit data and control information among various vehicle components.