QuestionAugust 24, 2025

17. What are some factors that would need to be considered in full-cost pricing of gasoline that is used to power vehicles?

17. What are some factors that would need to be considered in full-cost pricing of gasoline that is used to power vehicles?
17. What are some factors that would need to be considered in full-cost pricing of gasoline that is used to power
vehicles?

Solution
3.5(208 votes)

Answer

Direct costs, environmental costs, social costs, economic externalities, and opportunity costs. Explanation 1. Identify Direct Costs Consider the cost of crude oil, refining, distribution, and marketing. 2. Include Environmental Costs Account for emissions, pollution, and climate change impacts. 3. Factor in Social Costs Consider health effects from air pollution and accidents. 4. Consider Economic Externalities Include subsidies, tax incentives, and infrastructure maintenance. 5. Evaluate Opportunity Costs Assess alternative energy sources and their potential benefits.

Explanation

1. Identify Direct Costs<br /> Consider the cost of crude oil, refining, distribution, and marketing.<br /><br />2. Include Environmental Costs<br /> Account for emissions, pollution, and climate change impacts.<br /><br />3. Factor in Social Costs<br /> Consider health effects from air pollution and accidents.<br /><br />4. Consider Economic Externalities<br /> Include subsidies, tax incentives, and infrastructure maintenance.<br /><br />5. Evaluate Opportunity Costs<br /> Assess alternative energy sources and their potential benefits.
Click to rate:

Similar Questions