1.
Tradable pollution permits ?
2.
The gas-guzzler tax that is placed on new vehicles that are very fuel inefficient is an example of ?
3.
Roberto and Thomas live in a university hall of residence. Reberto values playing loud music at a value of €100. Thomas values peace and quiet at a value of €150. Which of the following statements is true about an efficient solution to this externality problem if Roberto has the right to play loud music and if there are no transaction costs ?
4.
Which of the following is not considered a transaction cost incurred by parties in the process of contracting to eliminate a pollution externality ?
5.
According to the Coase theorem, private parties can solve the problem of externalities if ?
6.
When an individual buys a car in a congested urban area, it generates ?
7.
To internalize a negative externality an appropriate public policy response would be to ?
8.
A negative externality (that has not been internalized) causes the ?
9.
A negative externality generates ?
10.
Suppose an industry emits a negative externality such a pollution and the possible methods to internalize the externality are command-and-control policies, pigovian taxes, and tradable pollution permits. If economists were to rank these methods for internalizing a negative externality based on efficiency ease of implementation and the incentive for the industry to further reduce pollution in the future, they would probably rank them in the following order (from most favored to least favored) ?
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