Asked by
Jared Lichtinger
on Oct 14, 2024
Verified
A Pigouvian tax on pollution is designed to collect enough revenue to pay for pollution detection by the government.
Pigouvian Tax
A tax imposed on activities that generate negative externalities, intended to correct the market outcome.
Pollution Detection
The process or technology used to identify, monitor, and quantify pollutants in the environment.
- Acquire knowledge on the principles and use of Pigouvian taxes and subsidies for the rectification of market shortcomings owing to externalities.
Verified Answer
JR
Learning Objectives
- Acquire knowledge on the principles and use of Pigouvian taxes and subsidies for the rectification of market shortcomings owing to externalities.