Market Failure, Public Sector and Public Choice

  1. What is the difference between private and social costs?
  2. How can the government intervene to force consumers to internalize external costs associated with: a. negative externalities? b. positive externalities?
  3. Would a tax on prescriptions drugs be more likely to be progressive or regressive? Why?
  4. Is the tax system of America, a fair system? Why? (your explanation should be at least 200 words in length).

now i had a pervious question as nunmber 4 hers the question i did it already so im going to attach it and you can summarize it and use it i want to stay on the same page with this question. this was the question which was ask last week .

Is the tax system of America, a fair system? Should the rich pay more than they do now? How can increasing the tax rate on the rich hurt the economy?

Sample Solution