St. Philips College

ECON 101

Chapter 14

1)The command-and-control approach to pollution reduction

2. If a firm that pollutes wants to maximize profits, it will produce where

3. The costs of environmental protection can be measured by

4. When external costs exist,

5. Government intervention that fails to improve economic outcomes is known as

6. The behavior of profit-maximizing producers is guided by

7. The reason pollution occurs is because people tend to

8. The command-and-control approach to pollution reduction

9. When external costs exist,

10. An example of a negative externality in consumption is

11. Which of the following is not the case when social costs are greater than private costs?
12. Emission charges, user fees, and pollution fines increase the                             of polluting.

13. Which of the following is assumed to be the most important motivation for producers?

14. The marginal cost to society of reducing pollution increases as the level of pollution reduction increases because of the law of

15. The true economic costs of pollution control are the