QUESTION 2

A Pigouvian/Pigovian Tax is a tax imposed primarily with the intention of influencing certain behavior, like pollution-emission.

True or False

QUESTION 3

Music can be a negative or positive externality depending on whether the music is jazz or tribal music.

True or False

QUESTION 4

Pollution Permits are great because they allow firms to pollute as much as they want.

True or False

Question 5

Cap and Trade is another name for pollution permits policy, because a government agency puts a cap on how much pollution is permissible, and then based on number of firms permits are sold and can be traded.

True or False

Question 6

The Clean Air Act was amended in 1990; to reduce sulfur dioxide emissions from electric power plants to half of 1980 levels

True or False

Question 7

One concern that environmentalists have is that market-oriented environmental tools are an excuse to allow pollution to be maintained or to grow.

True or False

Question 8

Research and Development (R&D) is a time-and-energy initiative, and thus it can be expected that private firms will be very interested to undertake R&D.

True or False

Question 11

Higher-Ed is said to have positive externalities because education is expensive.

True or False

Question 15

Regulations that permit a regulated firm to cover its costs and to make a normal level of profit are commonly referred to as cost-plus regulation.

True or False