Figure 10-13. On the graph, Q represents the quantity of plastics and P represents the price of plastics.
-Refer to Figure 10-13. In order to reach the social optimum, the government could
A)impose a tax of $2 per unit on plastics.
B)impose a tax of $6 per unit on plastics.
C)impose a tax of $8 per unit on plastics.
D)offer a subsidy of $6 per unit on plastics.

Question

Figure 10-13. On the graph, Q represents the quantity of plastics and P represents the price of plastics. 
-Refer to Figure 10-13. In order to reach the social optimum, the government could
A)impose a tax of $2 per unit on plastics. 
B)impose a tax of $6 per unit on plastics. 
C)impose a tax of $8 per unit on plastics. 
D)offer a subsidy of $6 per unit on plastics.

Quizplus · Accepted Answer

The Answer of Figure 10-13. On the graph, Q represents the quantity of plastics and P represents the price of plastics. 
-Refer to Figure 10-13. In order to reach the social optimum, the government could
A)impose a tax of $2 per unit on plastics. 
B)impose a tax of $6 per unit on plastics. 
C)impose a tax of $8 per unit on plastics. 
D)offer a subsidy of $6 per unit on plastics.