C there is no need for government intervention the

Info iconThis preview shows page 1. Sign up to view the full content.

View Full Document Right Arrow Icon
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: e socially efficient point? A) Government impose a $0.20 tax must on each unit of production. B) Issue 35 tradable emissions permits. C) There is no need for government intervention. The market equilibrium point is already the socially efficient point. D) Give every firm a permission to produce 42 unit of tobacco. optimal quantity is 35, so if you have permits that you pass out and allow the firms to trade and buy A, is wrong because not all firms have same production curve. Version 1 Page 13 Use the following to answer question 60: Figure: City with Two Polluters $800+$1400= $2400 $800 60. (Figure: City with Two Polluters) If the government wants to limit total pollution to 2,200 tons, it could impose an emissions tax of ________ on both firms. A) $200 B) $300 C) $400 D) $100 61. When the allocation of resources and the distribution of goods is efficient, it is still often possible to make some members of society better off. A) True B) False 62. Regardless of whether or not they pay for them,...
View Full Document

This document was uploaded on 02/18/2014 for the course ECON 2010 at Colorado.

Ask a homework question - tutors are online