In theory,a corrective tax _____ the _____ will create the optimal result.
A)equal to;externality
B)above;externality
C)equal to;price
D)above;price

Question

Quizplus · Accepted Answer

A corrective tax equal to the externality will internalize the external cost or benefit, leading to an optimal allocation of resources by aligning private costs or benefits with social costs or benefits.

In Theory,a Corrective Tax _____ the _____ Will Create the Optimal

In Theory,a Corrective Tax _ the _ Will Create the Optimal