Exhibit 3A-2 Comparison of Market Efficiency and Deadweight Loss
-As shown in Exhibit 3A-2, if the quantity supplied of good X per year is Q₁, the result is:

Question

Exhibit 3A-2 Comparison of Market Efficiency and Deadweight Loss -As shown in Exhibit 3A-2, if the quantity supplied of good X per year is Q₁, the result is:

Quizplus · Accepted Answer

The intersection of the demand and supply curves (QD1U1B11S1U1B0) is the efficient quantity where marginal social benefit equals marginal social cost. However, the actual quantity supplied (QS1U1B11S1U1B0) is below the efficient quantity, leading to underproduction, inefficiency, and deadweight loss. Therefore, all of the above options are correct.