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If Either Consumers or Producers Have Incomplete Information About the Safety

Question 26

Multiple Choice

If either consumers or producers have incomplete information about the safety of a good, then:


A) the market price would differ from the marginal social cost and marginal social benefit of the good.
B) the quantity of the good demanded and supplied would be equal to zero.
C) the quantity demanded of the good would exceed the quantity supplied.
D) there would be a persistent surplus of the good on the market since producers will

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