If this market were left unregulated, how many units would be produced and at wh

Question

If this market were left unregulated, how many units would be produced and at what price would they be sold? 8 units and a price of $8 8 units and a price of $24 12 units and a price of $12 12 units and a price of $36 What is the socially optimal quantity sold and price in this market? 8 units and a price of $8 8 units and a price of $24 12 units and a price of $12 12 units and a price of $36 Suppose that the government wanted to use an emissions tax to promote socially optimal production. The corresponding Pigouvian tax would be: $12 per unit $16 per unit $24 per unit Which of the following policies would satisfy the equimarginal principle: A tax on gasoline or airline travel A subsidy for the purchase of energy efficient technologies CAFE standards A carbon tax

Explanation / Answer

1) c

2) b

3) a

4)b

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