Liberty University ECON 213 Quiz 7 (LIBERTYUNIVERSITYECON213QUIZ7)
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[Solved] Liberty University ECON 213 Quiz 7
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Liberty University ECON 213 Quiz 7 (LIBERTYUNIVERSITYECON213QUIZ7)
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Liberty University ECON 213 Quiz 7
· Question 1
2 out of 2 points
A carbon tax would be an efficient method of addressing the problem of global warming because:
· Question 2
0 out of 2 points
When a negative externality is not internalized, then the equilibrium price of the good produced ...
Liberty University ECON 213 Quiz 7 (LIBERTYUNIVERSITYECON213QUIZ7)
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Microeconomics 213 QUIZ 7
Question 1 Question 1
2 out of 2 points
A carbon tax would be an efficient method of addressing the problem of global warming
because:
Selected Answer:
it forces firms to internalize the external cost of emissions.
Question 1 Question 2
0 out of 2 points
When a negative externality is not internalized, then the equilibrium price of the good
produced is too __________ and the equilibrium quantity produced is too __________.
Selected Answer:
high; low
Question 1 Question 3
2 out of 2 points
The government identifies a situation where production of a good is generating a negative
externality. A reasonable option for the government to consider is to:
Selected Answer:
impose a tax on the sale of this good.
Question 1 Question 4
2 out of 2 points
, Microeconomics 213 QUIZ 7
The pollution emitted by your car is an example of a(n):
Selected Answer:
external cost.
Question 1 Question 5
2 out of 2 points
If government regulation forces firms in an industry to internalize the externality, then the:
Selected Answer:
supply curve shifts to the left.
Question 1 Question 6
2 out of 2 points
The third-party problem:
Selected
Answer: occurs when a market activity leads to a negative or a positive
externality.
Question 1 Question 7
2 out of 2 points
Congestion charges cause the price of driving to __________. Therefore, the number of cars
on the road will __________.
Selected Answer:
rise; fall
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