Please answer the following questions true or false with a very brief justification B.1 The situation found in a society is evaluated with the Pareto criterion only in terms of income distribution.

B.2 One of the three basic functions of the state, in the context of Public Finance, is that of stabilizing and developing the economy, that is, supplying society with public goods and dealing with external influences.

B.3 In negative effects or externalities on production, the social marginal cost equals the private marginal cost plus the negative effect suffered by the producer.

B.4 The tax imposed in order to equalize the marginal private benefit with the social marginal benefit is called a corrective or Pigouvian tax.