Test: AP Microeconomics

1.

Which of the following policies is most likely designed to correct for a negative externality?

The government offers subsidized loans to college students.

The government guarantees a minimum price to corn farmers.

The government offers a tax credit for getting children vaccinated against a contagious disease.

None of the other answers are correct.

The government imposes a tax on each pack of cigarettes sold.

1/5 questions

0%
Learning Tools by Varsity Tutors