True or false: the government could achieve the efficient outcome by giving out fire extinguishers for free using tax revenue.

Yes, this is effecient outcome. Effecient outcome means No individual can be made better off without making someone else worse off. In this scenario consumers are getting a free fire extinguisher which makes their lives safer, but someone is having to pay for it, meaning there is someone who is getting the short end of the stick. Maybe it is the makers of the extinguishers having to sell them below cost, or tax payers having to pay more in taxes to cover the costs.