When a Production Quota Is Used to Remedy the Tragedy

question 31

Multiple Choice

When a production quota is used to remedy the tragedy of the commons,then

• A) the quota is set so that use of the resource is where marginal private benefit equals marginal private cost.
• B) the quota is set so that use of the resource is where marginal private benefit equals marginal social benefit.
• C) the market equilibrium, but not the efficient outcome, is achieved.
• D) users of the resource have an incentive to cheat on the quota.
• E) previous users of the resource are given the incentive to avoid use of the resource.

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Definitions:

Identical Alleles

Alleles that are the same at the same locus on both chromosomes in a pair, resulting in a uniform expression of a trait.

Homologous Chromosomes

Pairs of chromosomes in a diploid organism, one inherited from each parent, that have corresponding gene sequences and structures.

Crossing Over

A genetic process occurring during meiosis where homologous chromosomes exchange segments of genetic material to form recombinant chromosomes, contributing to genetic diversity.

Same Chromosome

Refers to genes or genetic markers located on the same chromosome and often inherited together.