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7. Which one of the following statements is false? a. A Pigouvian tax in response to a negative externality will increase price b. A Pigouvian

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7. Which one of the following statements is false? a. A Pigouvian tax in response to a negative externality will increase price b. A Pigouvian tax in response to a negative externality will reduce quantity c. A Pigouvian tax in response to a negative externality will reduce consumer surplus d. A Pigouvian tax in response to a negative externality will increase producer surplus e. A Pigouvian tax in response to a negative externality will reduce externality damages

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