Question

In order to reduce the harmful affects of recession and carbon emissions, the government provided tax incentives for manufacturing firm's to __________ that provide alternative, more efficient methods of combining inputs to produce output. A. acquire energy efficient production technologies B. increase the returns to scale C. maintain constant returns to scale D. create perfect competition between firms

Answer 1

A

Step-by-step explanation:

Answer 2

The correct answer is option A.

Step-by-step explanation:

In order to curb carbon emissions and the effects of the recession, the government can provide subsidies or tax incentives to firms.

These tax incentives or subsidies can be used by the manufacturing firms to adopt new energy-efficient technologies. These technologies will help in efficiently using inputs to produce output without creating carbon emissions or at low emissions.