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If Paul Improves the Landscape of the House by Planting

Question 80

Multiple Choice

If Paul improves the landscape of the house by planting new grass,trimming the trees and also adding a fence,making the value of his house go up.Then the following will happen:


A) Paul will be less happy because of the money he spent on his improvements.
B) the neighbors will receive external benefits.
C) the neighbors will be forced to improve their houses also.
D) marginal social benefit will be less than marginal cost.

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