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罗森 财政学 第七版(英文版) 配套习题及答案Chap005.doc
CHAPTER 5 - Externalities
Multiple-Choice Questions
1. Reducing output from the privately optimal level to the socially optimal level will
a) cause a loss of consumption to consumers.
b) reduce marginal damages.
c) reduce the production costs.
d) cause all of the above.
2. Marginal damages are hard to measure because
a) they can be generated from multiple sources.
b) they are hard to graph.
c) they happen over time.
d) no one cares about them.
3. In Figure 5.4, if the marginal damages line did not originate at 0,
a) it would mean that marginal damages did not exist.
b) there is no way to find MSC.
c) MSC would not originate at the same intercept as MPC.
d) then all of the above.
4. Externalities can be positive because
a) marginal damages do not last over time.
b) utility can be impacted positively as well as negatively.
c) there is no concept for marginal benefit.
d) positive externalities are subsidies.
5. Refer to the graphs below. Which graph(s) represent(s) an externality?
a) graph A
b) graphs A and B
c) graph B
d) neither graph A nor graph B
6. Refer to Figure 5.7 in the textbook. What does it mean if all firms have to reduce to a point ?
a) Firm X will reduce more than optimal.
b) Firm Z will reduce less than optimal.
c) The new point is between X* and Z*.
d) All of the above.
7. The Coase theorem has problems because
a) generally, bargaining costs are not zero.
b) individuals are not concerned with others.
c) markets always exist.
d) all of the above.
8. Pollution rights may be traded if
a) polluters try to hide pollution.
b) administrators are uncertain about Pigouvian taxes.
c) there is no market for pollution.
d) pollution is harmless.
9. Externalities can be produced by ____________, as well as ____________.
a) individuals; firms
b) market prices; market incomes
c) oceans; streams
d) none of the above
10. A Pigouvian tax corrects for
a) market congestion.
b) market losses.
c) inefficient sales.
d) low market prices.
11. Which of the following is correc
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