Use the following to answer question:
Figure: Efficiency and Pollution
-(Figure: Efficiency and Pollution) Use Figure: Efficiency and Pollution.Assume that firms are the only beneficiaries of pollution and that costs are borne solely by others in the society.If this market produced _____ tons of pollution,then _____.
A) 30;it would be efficient
B) 45;marginal social cost would be less than marginal social benefit
C) 20;marginal social benefit would be less than marginal social cost
D) 20;the marginal social benefit would be $7.
Correct Answer:
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Q150: Use the following to answer question:
Figure: Efficiency
Q151: Use the following to answer question:
Figure: Model
Q152: Use the following to answer question:
Figure: MSB
Q153: Use the following to answer question:
Figure: Efficiency
Q154: Use the following to answer question:
Figure: Model
Q156: Use the following to answer question:
Figure: The
Q157: Use the following to answer question:
Figure: The
Q158: Use the following to answer question:
Figure: Efficiency
Q159: Use the following to answer question:
Figure: Model
Q160: A principal cause of market failure is
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