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Norma-Jean [14]
3 years ago
7

Consider a market where production of a good generates a negative externality. In the market equilibrium:_________.a. there is n

o deadweight loss. b. firms are not maximizing profit. c. too little of the good is being produced. d. too much of the food is being produced e. the external costs have been internalized,
Business
1 answer:
bonufazy [111]3 years ago
6 0

Answer:

d. too much of the good is being produced

Explanation:

A good has negative externality if the costs to third parties not involved in production is greater than the benefits. an example of an activity that generates negative externality is pollution. Pollution can be generated at little or no cost, so they are usually overproduced. Government can discourage the production of activities that generate negative externality by taxation

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To record On Jan 2, Callie Taylor received a $700 payment from a customer formerly billed for services performed. The journal entry to record this transaction would contain a debit to the cash account and a credit to the Accounts Receivable account.

<h3>What is Journal entry?</h3>

A journal entry exists as an act of keeping or creating records of any transactions either economic or non-economic. Transactions exist listed in an accounting journal that indicates a company's debit and credit balances. The journal entry can consist of several recordings, each of which exists either a debit or a credit.

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Hence, To record On Jan 2, Callie Taylor received a $700 payment from a customer formerly billed for services performed. The journal entry to record this transaction would contain a debit to the cash account and a credit to the Accounts Receivable account.

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