Economics · Environmental Economics
Find out the correct statements about the 'Pigovian Tax': A. Provides a solution in order to internalize the total cost of an activity into the market. B. Provides a solution to reduce the production of pollutants through public policy. C. It helps in increasing the factor productivity in the real sector. D. It acts like a severance tax. Choose the correct answer from the options given below:
- 1A, B and D only
- 2A only
- 3C and D only
- 4A and B only✓
Correct answer
A and B only
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