Q
The gas-guzzler tax that is placed on new vehicles that are very fuel inefficient is an example of ?
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A
A. A tradeable pollution permits.
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B
B. An attempt to internalize a positive externality
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C
C. An application of the coase theorem
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D
D. An attempt to internalize a negative externality.
Correct Answer:
D. D. An attempt to internalize a negative externality.