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jek_recluse [69]
2 years ago
15

Which of the following policies is the government most inclined to use when faced with a positive externality? Group of answer c

hoices taxation subsidies usage fees permits
Business
1 answer:
In-s [12.5K]2 years ago
4 0

Answer:

subsidies

Explanation:

Subsidies refer to financial aid for some specific purpose and to some specific category as decided by the government. As for the instance the government can provide subsidy in the form of house to poor people in the country.

Now here the rich people can afford their own houses and that they can pay the taxes as well which are attached to the the houses, which provide extra benefit to the poor, as the government can provide the subsidy then more efficiently.

The positive externalities increase the benefits for every citizen.

You might be interested in
If you begin investing at age 25 instead of age 20, how much more do you need to invest per month to have $1M at retirement?
DanielleElmas [232]

The logic behind saving for retirement is that the earlier one begins saving for retirement, the lesser amount they will have to save monthly. From the graph given, the answer to how much more you need to invest per month to have $1M at retirement is;

  • $140

Assuming a 6% investment on return, the individual will have to save $360 monthly to have $1,000,000 at the retirement age of 67.

If he, however, waits till the age of 25 to begin saving, he will have to save $500 which is $140 more than he would have saved from the age of 20.

So, to save less per month, you need to start at an early age.

Learn more here:

brainly.com/question/5837034

8 0
2 years ago
Tattoo Tax Arkansas imposes a 6% tax on tattoos and body piercings to discourage this behavior, meaning that the people of Arkan
jenyasd209 [6]

Answer:

c

Explanation:

customers surplus is going to decrease due to the tax increase, some of the customers may not afford and that may affect Arkanas financial performance

6 0
3 years ago
The following market information was gathered for the corporation. The firm has 1,000 bonds outstanding, each selling for $1,100
Nana76 [90]

Answer:

9.127%

Explanation:

For calculating the WACC we need to do following calculations which are shown below:

value of debt = 1,000 ×  $1,100 = $1,100,000

cost of debt = 8% ×  (1 - 0.3) = 4.8%

value of equity = 50,000 shares × $18 = $900,000

value of preferred stock = 5,000 × $40 = $200,000

Now

Market value of firm = $1,100,000 + $900,000 + $200,000 = $2,200,000

The formula is shown below:

= Weightage of debt × cost of debt + (Weightage of common stock) × (cost of common stock) + (Weightage of preferred stock) × (cost of preferred stock)

WACC = ($1,100,000 ÷ $2,200,000) × 4.8% + ($900,000 ÷ $2,200,000) × 14% + ($200,000 ÷ $2,200,000) × 11%

= 9.127%

3 0
2 years ago
Cindy has been working for 8 years, and she’s built up a huge emergency fund -- $45,000, which would be 6 months of her salary.
baherus [9]

Answer with Explanation:

Following are some types of account investments that are better for emergency funds and the return on these investment varies depending upon the risk born by the investors:

  • Current Account Investments
  • Commodity Investments
  • Mutual Funds

If the inflation rate is below the return paid on the current account then it could be a better investment option as the money doesn't loose its value over time.

If the inflation rate is higher than the return paid on the current account then it is better to invest in commodities like gold, petroleum products, etc, that are often termed as speculative investments.

If the investor is risk seeking person, then it is better to invest in mutual funds as the return on such investments is higher because of the higher risk that the investor bears.

6 0
3 years ago
Charles was the last person on his block to purchase a color television set, and that was in the 1980s. He just couldn't see the
dezoksy [38]

Answer:

Charles is classified in the adopter category called "Latecomers"

Explanation:

Latecomers are traditional consumers. For them, buying a new product brings a feeling of extreme psychological discomfort. They do not like news, even flee from it, and consider it immature to buy an innovative article in the market.

Latecomers represent 16% of consumers, are insecure to adopt new things, do not like to try new things and do not follow fads. Being traditionalists, they always perform the same way and only adopt innovation when there is no other alternative. Like Charles, who only bought the color TV because his old tv stopped working.

3 0
3 years ago
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