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PIGOUVIAN TAXTaxe de Pigouvian
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PIGOUVIAN TAXA tax on an external cost, such as pollution, designed to use market forces to achieve an efficient allocation of resources. A. C. Pigou, one of the first economists to study the market failure of ext [..]
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PIGOUVIAN TAXTax levied on an agent causing an environmental externality (environmental damage) as an incentive to avert or mitigate such damage.
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