Question

A corrective tax a. is a form of regulation. b. is inferior to regulatory policy according to most economists. c. allocates pollution to those factories that face the highest cost of reducing it. d. works well for all types of externalities. g

Answer 1

Answer:

c. allocates pollution to those factories that face the highest cost of reducing it

Explanation:

A corrective tax is a market-based policy option that can be used by the government in order to addressthe externalities that have the negative impact. Here the taxes ruse the cost for generating the goods or services so it motivated the firm to generate lower output

Also it distributed the pollution to those kind of factories that have large amount of the cost for deduction