The correct answer is: price elasticity of supply and demand.
The government introduces a $4 per unit tax on the supply of automobile tires. The tax is imposed on the suppliers. The effect of the imposition of tax will remain the same whether the incidence falls on the buyer or seller. The imposition of tax will lead to an increase in the price of the commodity.
The burden shared by the buyers and sellers depends on the elasticity of demand and supply. If demand is more elastic than the supply, the supplier will bear the greater burden and vice versa.
B. allow reductions in pollution to be achieved at minimum cost.
Environmental standardization - development and establishment of a set of mandatory rules, requirements, norms and norms in the field of use of natural resources, protection of the environment from pollution and other harmful influences, ensuring ecological safety, aimed at improving their environmental characteristics and implementation of system-wide identification for establishment conformity and certification.The subject of standardization - technical legislation and regulatory documents regulating the processes, methods, methods, rules of human life. However, the economists think that these standards are not enough and have some problems. Based on social and economical analyzes, they proved that these regulations can not control polluter's emissions directly and then there will be the appearance new methods which are more effective than these. The biggest problem with environmental standards is : these standards are not flexible and they do not allow to fulfill the reduction in pollution by achieving at minimal cost.