Negative externalities lead markets to produce
a. greater than efficient output levels and pos...
Business, 09.09.2019 22:30 winterblanco
Negative externalities lead markets to produce
a. greater than efficient output levels and positive externalities lead markets to produce smaller than efficient output levels.
b. efficient output levels and positive externalities lead markets to produce greater than efficient output levels.
c. greater than efficient output levels and positive externalities lead markets to produce efficient output levels.
d. smaller than efficient output levels and positive externalities lead markets to produce greater than efficient output levels.
Answers: 2
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Abakery wants to determine how many trays of doughnuts it should prepare each day. demand is normal with a mean of 5 trays and standard deviation of 1 tray. if the owner wants a service level of at least 95%, how many trays should he prepare (rounded to the nearest whole tray)? assume doughnuts have no salvage value after the day is complete.
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Business, 22.06.2019 16:30
Suppose that electricity producers create a negative externality equal to $5 per unit. further suppose that the government imposes a $5 per-unit tax on the producers. what is the relationship between the after-tax equilibrium quantity and the socially optimal quantity of electricity to be produced?
Answers: 2
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