What will a corrective tax equal to the external cost imposed on polluters result in? It will increase the level of pollution. It will force polluters to internalize the external cost resulting from their actions. It will eliminate all pollution. It will usually have NO impact whatsoever on pollution levels, but will generate tax revenue for the government.
What will a corrective tax equal to the external cost imposed on polluters result in? It will increase the level of pollution. It will force polluters to internalize the external cost resulting from their actions. It will eliminate all pollution. It will usually have NO impact whatsoever on pollution levels, but will generate tax revenue for the government.
Microeconomics A Contemporary Intro
10th Edition
ISBN:9781285635101
Author:MCEACHERN
Publisher:MCEACHERN
Chapter17: Externalities And The Environment
Section: Chapter Questions
Problem 6QFR
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Transcribed Image Text:What will a corrective tax equal to the external cost imposed on polluters result in?
It will increase the level of pollution.
It will force polluters to internalize the external cost resulting from their actions.
It will eliminate all pollution.
It will usually have NO impact whatsoever on pollution levels, but will generate tax revenue for the government.
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