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97) If the production of a good generates external benefits, the government could increase efficiency by A) taxing the production of the good to reduce

97) If the production of a good generates external benefits, the government could increase efficiency by

A) taxing the production of the good to reduce the amount produced.

B) subsidizing production of the good to increase the amount produced.

C) regulating production of the good to reduce the amount produced.

D) requiring all producers of the product to be licensed to produce the product.

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