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Question
Voluntary agreements may not be a feasible method to internalize an externality when
A) the dollar value of the externality is large.
B) the externality is negative rather than positive.
C) there are significant transaction costs.
D) there are high taxes on the firms that cause the externalities.
Answer
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Related questions
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The regulation of the prices charged by insurance companies is known asA) the Federal Register. B) social regulation.C) the market share test. D) economic regulation.
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If the marginal product curve is intersecting the average product curve, we know thatA) the average variable cost curve is intersecting the average total cost curve.B) the marginal cost curve is intersecting the average fixed cost curve. C) the average total cost curve lies above the marginal cost curve.D) the marginal cost curve is intersecting the average total cost curve.
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