In the competitive market for balloon rides, marginal social cost equals marginal social benefit when 3,000 balloon rides a day are taken and the price of a ride is $130. Which of the following statements is true?
A) The efficient quantity of balloon rides is 3,000 a day.
B) There is a free- rider problem.
C) Too few rides are available, and the price of a balloon ride is too high.
D) Too many rides are available.
Correct Answer:
Verified
Q92: Deadweight loss is the decrease in _
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