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The Diagram Below Shows the Marginal Benefit and Marginal Cost

Question 18

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The diagram below shows the marginal benefit and marginal cost of a public good. This economy has 3 individuals, A, B and C. The diagram shows the MB for each individual and a summation of their marginal benefits. The diagram below shows the marginal benefit and marginal cost of a public good. This economy has 3 individuals, A, B and C. The diagram shows the MB for each individual and a summation of their marginal benefits. FIGURE 16- 4 -Refer to Figure 16- 4. What is the optimal provision of this public good? A) Q3 B) Q4 C) Q D) Q1 E) Q2 FIGURE 16- 4
-Refer to Figure 16- 4. What is the optimal provision of this public good?


A) Q3
B) Q4
C) Q
D) Q1
E) Q2

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