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Economics

1. Describe an incentive your parents offered to you in an effort to influence your behavior.

Microeconomics

13th Edition

ISBN:9781337617406

Author:Roger A. Arnold

Publisher:Roger A. Arnold

Chapter17: Market Failure: Externalities, Public Goods, And Asymmetric Information

Section: Chapter Questions

Problem 12QP

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Question

1. Describe an incentive your parents offered to you in an effort to influence your behavior.

2. Give an ideal example of a positive (consumption) externality which leads to a market failure.

3.Differentiate equality from equity.

4. Which one is better? Equality or Equity? Give an example in which the government has done such a thing.

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