Answer to Question #189240 in Macroeconomics for James

Question

QUESTION 16

The advantage of market-oriented environmental tools is:

1. That they reduce pollution by more than other methods.
2. That they reduce pollution by less than the other methods.
3. That they can achieve any desired reduction in pollution at a lower cost to society.
4. That they can achieve any desired reduction in pollution at a higher cost to society.
5. All of the above.

QUESTION 17

A more recent study estimated that the environmental benefits to Americans of the Clean Air Act:

1. Will exceed their costs by a margin of one to four.
2. Will exceed their costs by a margin of four to one.
3. Will exceed their costs by a margin of ten to one.
4. Will exceed their costs by a margin of 200 to one.
5. Will not be worth the costs of implementation.  

Answer 1

16. That they can achieve any desired reduction in pollution at a lower cost to society.

17. Will exceed their costs by a margin of four to one.