Explain how Pigouvian taxes can be used to correct an external cost in production.
it can actually be mentioned that from the given figure the presence of externality is a burden to society under pigouvian tax increases the cost of production and this reduces the supply from S1 to S2 and gets to the socially optimal output from Q1 to Q2 and in this way a pigouvian tax can correct the external cost in production.
Explain how Pigouvian taxes can be used to correct an external cost in production.
Which of the following is a disadvantage of using Pigouvian taxes to correct externality problems? A. The government needs to know the size of the external cost in order to determine the size of the tax. B. The burden of a Pigouvian tax is determines by relative elasticities, not by the government C. Pigouvian taxes are effective only on goods and services with inelastic demand D. The government may not spend the tax revenue wisely
Using a diagram, explain how an external cost of production (i.e. a negative production externality) can be internalised with a tax. Using a diagram, explain how an external cost of production (i.e. a negative production externality) can be internalised with a tax.
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)
What is a production cost report used for? It is an external report provided to shareholders. It shows costs charged to a department and costs accounted for. It shows equivalent units of production but not physical units. It shows the basis on which overhead is allocated.
How can a government solve the negative production externality problem through taxes? Explain your answer with a diagram.
9 marks How can taxes be used to increase efficiency when there are externalities? Explain your answer using a diagram. 9 marks Under what conditions can externalities be eliminated by the allocation of property rights?
identify the major external forces for change and explain how the external environment can impact on change strategies
Explain how policies and procedures are used to manage compliance and ethical practice in external service delivery.
Examine how the PEST can be used by a marketer to understand changes in the external environmental forces affecting a company.
Gary is uncertain about the steps used to prepare a production cost report. Describe the procedures that are required, and order them in the sequence in which they are performed. Include what is meant by the term "equivalent units", and how are equivalent units of production computed. Why is such a calculation necessary? Is such a calculation an exact science? Is there potential for income manipulation because of using equivalent units? Gary is also unclear as to why the production...