(Figure: Efficient Quantities and Consumers) Suppose that the demand curves for two consumers of good X are presented in the graph. The marginal cost of producing good X is MC = $9.
a. If good X is rival and excludable, what is its efficient quantity?
b. If good X is nonrival and nonexcludable, what is its efficient quantity?

Question

(Figure: Efficient Quantities and Consumers) Suppose that the demand curves for two consumers of good X are presented in the graph. The marginal cost of producing good X is MC = $9.  
a. If good X is rival and excludable, what is its efficient quantity?
b. If good X is nonrival and nonexcludable, what is its efficient quantity?

Quizplus · Accepted Answer

The Answer of (Figure: Efficient Quantities and Consumers) Suppose that the demand curves for two consumers of good X are presented in the graph. The marginal cost of producing good X is MC = $9.  
a. If good X is rival and excludable, what is its efficient quantity?
b. If good X is nonrival and nonexcludable, what is its efficient quantity?

(Figure: Efficient Quantities and Consumers) Suppose That the Demand Curves