
-The above table shows the marginal benefits and costs from the production of fertiliser. There are no external benefits. If the market is perfectly competitive and unregulated, at the equilibrium output, the
A) marginal private cost exceeds the marginal private benefit.
B) marginal social cost equals the marginal private benefit.
C) marginal private cost is less than the marginal private benefit.
D) marginal social cost is greater than the marginal private benefit.
Correct Answer:
Verified
Q34: Consider a market in which there is
Q35: If a good has an external cost,
Q36: Q37: The Coase Theorem is the proposition that Q38: The cost of producing one more unit Q40: For a common resource, the marginal private Q41: For a good whose production creates pollution,![]()
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