If markets are perfectly competitive and production of a, Microeconomics

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If markets are perfectly competitive and production of a

If markets are perfectly competitive and production of a good results in water pollution, the imposition of a tax on the good will:

A. reduce the number of firms producing that good in the long run.

B. increase the number of firms producing that good in the long run.

C. reduce the number of firms producing that good in the short run.

D. increase the number of firms producing that good in the short run.

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Microeconomics: If markets are perfectly competitive and production of a

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