Refer to the graph shown, which shows the demand and supply for a new vaccine against the common cold. Suppose once vaccinated, a person cannot catch a cold or give a cold to someone else. As a result, the marginal social benefit curve will:
A) coincide with the market demand curve.
B) lie strictly below the market supply curve.
C) lie below the market demand curve.
D) lie above the market demand curve.

Question

Refer to the graph shown, which shows the demand and supply for a new vaccine against the common cold. Suppose once vaccinated, a person cannot catch a cold or give a cold to someone else. As a result, the marginal social benefit curve will: 
A) coincide with the market demand curve. 
B) lie strictly below the market supply curve. 
C) lie below the market demand curve. 
D) lie above the market demand curve.

Quizplus · Accepted Answer

The Answer of Refer to the graph shown, which shows the demand and supply for a new vaccine against the common cold. Suppose once vaccinated, a person cannot catch a cold or give a cold to someone else. As a result, the marginal social benefit curve will: 
A) coincide with the market demand curve. 
B) lie strictly below the market supply curve. 
C) lie below the market demand curve. 
D) lie above the market demand curve.

Refer to the Graph Shown, Which Shows the Demand and Supply