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The economic approach to all of the external costs associated with automobiles is:

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The economic approach to all of the external costs associated with automobiles is:

The economic approach to all of the external costs associated with automobiles is:

▸ internalizing the external costs using an optimal tax.

▸ government setting a maximum on each type of external cost.

▸ government subsidy.

▸ all of the above.

Textbook

Microeconomics: Principles, Applications, and Tools

Edition: 8^th

Authors: O'Sullivan, Sheffrin, Perez

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