if there are both external benefits and external costs associated with the production and consumption of a good and the external benefits are greater than the external costs

a. taxing it could bring us closer to the efficient solution

b. subsidizing it could bring us closer to the efficient solution

c. neither a tax or a subsidy could bring us closer to the efficient solution

d. none of the above

common property resources _ rival _ excludable.

a. are and are

b. are but are not

c. are not but are

d. are not and are not

if a new subsidy was imposed on an industry whose production imposed external benefits on others, then the goods consumers of the good would be _ and the result would be an _ in total welfare.

a. better off; increase

b. better off; decrease

c. worse off; increase

d. worse off; decrease

private goods _ rival _ excludable

a. are, and are

b. are, but are not

c. are not, but are

d. are not, and are not

if there are both external benefits and external costs associated with the production and consumption of a good and the external benefits are equal in magnitude to the external costs

a. more than the efficient amount is being produced

b. less than the efficient amount is being produced

c. the efficient amount is being produced

d. we do not know whether the efficient amount or more or less is being produced