Figure 10-5
-Refer to Figure 10-5. A benevolent social planner would prefer

Question

Figure 10-5 
-Refer to Figure 10-5. A benevolent social planner would prefer

Quizplus · Accepted Answer

A benevolent social planner aims to maximize social welfare, which is achieved where the marginal social benefit equals the marginal social cost. This is typically at the equilibrium quantity where supply and demand intersect, suggesting the planner would prefer the quantity that maximizes societal benefit, which is indicated as 70 units in the context provided.

Figure 10-5 -Refer to Figure 10-5. a Benevolent Social Planner Would Prefer