Which of the following are ways in which the government promotes positive externalities? (Multiple answers, the answer was not A and C together)
A. Spending on research and development. B. Protection of intellectual property. C. Incentives for increasing output.
Both A and B
Government can promotes positive externalities by way of spending on research and development and by way of protection of intellectual property.government can gives subsidies for increasing output.
Which of the following are ways in which the government promotes positive externalities? (Multiple answers, the...
Which one of the following statements about positive externalities is false? A. A positive externality is a positive side effect of an economic transaction that affects those not directly involved in the transaction B. Installing a solar panel produces a positive externality C. Unregulated markets produce too few of the goods and services that have positive externalities. D. Markets with positive externalities do not need government intervention to operate efficiently E. Positive externalities represent an additional benefit to society, over...
Which one of the following statements about positive externalities is false? a. A positive externality is a positive side effect of an economic transaction that affects those not directly involved in the transaction. b. Unregulated markets produce too few of the goods and services that have positive externalities. c. Installing a solar panel produces a positive externality. d. Markets with positive externalities do not need government intervention to operate efficiently. e. Positive externalities represent an additional benefit to society, over...
To correct for positive externalities, the government should A) do nothing, since no harm is done by positive externalities B) Levy a tax on the output of the good or service C) pay a subsidy equal to the marginal external benefit D) impose a price ceiling on the good to discourage its production E) impose a price floor on the good at which the marginal private benefit equals the marginal social cost
Which of the following is not an effective method to reduce negative externalities? Select one: a. relying on voluntary compliance b. taxing the output of industries that pollute c. creating legal environmental standards d. increasing public spending on cleanup and reduction of pollution
All of the following illustrate how government can correct for positive externalities EXCEPT a)subsidies, b)regulation, c)government financing and production, d)charging efluent fees (aka Pigouvian taxes)
(1) Which of the following is not a tool of fiscal policy? Government spending Taxes Tax incentives Private investment (2) Which of the following statements helps to explain why the economy can be slow to recover from a recession? Workers are less motivated because of reduced expectations, which reduces total output. There is not as much money in circulation to fuel new investment. Wages do not fall quickly, which delays an adjustment to a higher output level....
Recipients of initial direct spending generally re-spend it in the following ways: (multiple answers) With non-local governments. With employees who reside in the same local economy. With other private sector businesses in the same local economy. With local government. With employees, businesses, or organizations outside the local economy.
A, B or C
(Multiple answers)
"You may select Multiple answers"
Which of the following are examples of negative externalities? Trash dumped upstream flows downstream right past your house. Your neighbor paints her house a hideous color. Construction of an airport to support commerce and travel in your community
PLEASE EXPLAIN YOUR ANSWERS. THANK YOU!
If education produces positive externalities and the government does not intervene in the market, we would expect O the equilibrium price to be higher than the optimal price. b. the equilibrium quantity to be lower than the optimal level. c.the equilibrium quantity to be higher than the optimal level. d. both a and b are correct Tradable pollution permits a. have prices that are set by the government. b. will be more valuable to...
If the government decided to increase its spending (G) on road construction by $100, which of the following ways of paying for it would increase GDP by the greatest amount? a. Selling $100 of bonds to the Federal Reserve (the “Fed”). b. Selling $100 of bonds to the public. c. Reducing government spending on education by $100. d. Increasing taxes by $100. e. All the above options will increase GDP by the same amount.