Reference: Ref 10-1 (Table: Costs of Antibiotics) Refer to the table. The deadweight loss in the market could be eliminated if the government:
A) outlawed the production of the good.
B) added a $10 tax per unit.
C) equated marginal benefit with external cost.
D) subsidized consumption by $5 per unit.

Question

Reference: Ref 10-1 (Table: Costs of Antibiotics) Refer to the table. The deadweight loss in the market could be eliminated if the government:
A) outlawed the production of the good. 
B) added a $10 tax per unit. 
C) equated marginal benefit with external cost. 
D) subsidized consumption by $5 per unit.

Quizplus · Accepted Answer

The Answer of  Reference: Ref 10-1 (Table: Costs of Antibiotics) Refer to the table. The deadweight loss in the market could be eliminated if the government:
A) outlawed the production of the good. 
B) added a $10 tax per unit. 
C) equated marginal benefit with external cost. 
D) subsidized consumption by $5 per unit.

Reference: Ref 10-1 (Table: Costs of Antibiotics) Refer to the Table