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When Benefits Are Highly Concentrated, but Costs Are Diffused Across

Question 95

Multiple Choice

When benefits are highly concentrated, but costs are diffused across a large number of people:


A) the market tends to overproduce these goods.
B) the market tends to underproduce these goods.
C) the government tends to overproduce these goods.
D) the government tends to underproduce these goods.

Correct Answer:

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