Task 2 Microeconomics

Name: Muhammad Jaisy Abimanyu

NIM: C1G023009

1. Explain whether you think the situation is efficient or not. If it is not efficient, why not? What
actions would make it efficient? Case: Electricity is included in the rent at your dorm. Some
residents in your dorm leave lights, computers, and appliances on when they are not in their
rooms.
Answer: I think is not efficient because the lights, computers, and appliances were not being
used and its basically wasting energy for nothing I think is more efficient for just shut it down
when not being used its also saving energy for later activity that more needed energy
2. Governments often adopt certain policies in order to promote desired behavior among their
citizens. For each of the following policies, determine what the incentive is and what behavior
the government wishes to promote. In each case, why do you think that the government might
wish to change people’s behavior, rather than allow their actions to be solely determined by
individual choice?
(a) A tax of $5 per pack is imposed on cigarettes.
Answer: Government doing this to reducing cigarettes use and its related harms but this policy
didn’t do much to reduce the use of cigarettes but the government get revenues from this product
because many people allocate their households spending and using it to buy cigarettes, the
government use the revenues for at least to support healthcare programs
(b) The government pays college students to tutor children from low-income families.
Answer: Government doing this to assist the low-income family education needs because they’re
from low-income families so they can’t afford an education. The government solutions to help
this conditions is by using college students that have high education to tutor the children from
low-income families so they can have education for free
(c) The government imposes a tax on the amount of air pollution that a company discharges.
Answer: government do this to encourage companies to reduce their air pollution. The more
pollution they make the higher tax they will pay. The revenue that government receive from the
tax can be used to fund environmental protection programs, research, and development of
cleaner technologies