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Question
If the government decides to adopt a carbon tax, the price of goods whose production generates carbon emissions will ________ and the quantity produced will ________.
a. increase; increase
b. increase; decrease
c. increase; remain unchanged
d. decrease; increase
e. decrease; decrease
Answer
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Related questions
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The economic entity most likely to engage in price gouging is
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What is the long-run consequence of a price ceiling law?
a. A surplus will continue to exist and will grow larger over time.
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Suppose Solomon lives in a community with no price controls. What do you expect will happen if his town borders a community where there is a binding price ceiling on most products?
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Q:
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