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Business, 13.07.2021 20:50 ndnsnsnsmns
Which of the following statements regarding social enforcement mechanisms is not true? (Check all that apply.) A. Shame, guilt, and the risk that we will be publicly decried are the various forms of it. B. It is a private solution to the externality problem that invokes a moral code that one should 'do the right thing'. C. It reduces the net benefit to society. Your answer is correct. D. It is enforced by official government regulations and results in a stiff financial penalty if not followed. Your answer is correct. Which of the following statements regarding internalizing an externality is true? A. It means companies and individuals consider the internal effects of their actions. B. It means agents account for the full costs and benefits of their actions. C. It is a theme that separates various solutions to the problem of externalities. D. It results in a market equilibrium that lowers social well-being.
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Which of the following statements regarding social enforcement mechanisms is not true? (Check all...
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