Air pollution generated by a steel mill is an example of a) a positive production externality. b) a negative production
Air pollution generated by a steel mill is an example of a) a positive production externality. b) a negative production externality. c) a public good. d) the free-rider problem.
State and local taxes seem as a group to be mildly ________ and federal taxes seem as a group to be mildly ________. a) regressive; regressive b) progressive; regressive c) progressive; progressive d) regressive; progressive
The U.S. individual income tax is designed to be ________ . a) progressive b) regressive c) proportional d) an ability-to-pay tax
Employers will bear the full burden of the payroll tax if labor supply is a) perfectly inelastic. b) perfectly elastic. c) backward bending. d) upward sloping.
If the government levies a tax on a chemical company that created an external social cost, the tax should equal marginal ________ to ensure an efficient correction. a) private cost b) social cost c) benefit d) damage cost
Second hand cigarette smoke is an example of a(n) ________. a) economy of scale b) externality c) public good d) government failure