Business
Business, 17.12.2020 20:10, stranger123

The graph above depicts the marginal social cost (MSC), marginal private cost (MPC), and marginal social benefit (MSB) associated with the production of a good that generates an externality. Based on the information in the graph, which of the following is true?
There is a positive externality because, relative to the socially optimal output, too little is produced in an unregulated market.
The unregulated market produces Qg and sets price at Ps.
c) The allocatively efficient level of output is Qp.
D) The good generates an external benefit equal to AB.
E
There is a negative externality because marginal social cost exceeds marginal private cost.


The graph above depicts the marginal social cost (MSC), marginal private cost (MPC), and marginal s

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The graph above depicts the marginal social cost (MSC), marginal private cost (MPC), and marginal so...

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