A pollution charge gives the trucking industry an incentive to reduce its emissions, as long as the marginal cost of reducing the emissions is less than the tax. Option C is correct.
<h3>What is the marginal cost?</h3>
The marginal cost is the rise in production costs caused by the manufacture of more product units. It's also referred to as the marginal cost of manufacturing. Calculating the marginal cost enables businesses to determine how volume produced affects cost and, eventually, profits.
A pollution tax incentivizes the trucking sector to decrease emissions as long as the marginal cost of decreasing emissions is less than the tax.
Therefore, option C is correct.
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Answer:
C) The variable Y could be the price of the wool used to make mittens.
D) The variable X could be consumers income.
Explanation:
quantity supplied = 50 + 1/2X - 5Y -24Z
In this equation if X increases, then the quantity supplied increases. Therefore X can either be the product's price or consumer income.
In this equation if Y or Z increase, then the quantity supplied decreases. Therefore Y or Z are production costs, either labor or materials.
You can add a table, rows, columns, or cells (All of the above)
Answer:
Hotco
If it occurred, this would constitute a disadvantage for Hotco of the plan described above:
E) A steady increase in the price of oil beginning soon after the new burner is installed.
Explanation:
A steady oil price increase commencing soon after the new burner is installed will obliterate the actual cost savings from which Clifton Asphalt would be paying Hotco for the oil burners.
This is buttressed by the fact of the payment terms that totally depends on the cost savings.
Even the adjustment after two years may not benefit Hotco if the steady increase in the price of oil persists.
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