The market demand curve for coffee is the same as the
A) marginal social cost curve of coffee.
B) marginal social benefit curve of coffee.
C) opportunity cost curve of coffee.
D) marginal social benefit curve minus the marginal social cost curve of coffee.

Question

Quizplus · Accepted Answer

The marginal social benefit curve of coffee represents the additional benefit that society receives from consuming one more unit of coffee. The market demand curve for coffee represents the quantity of coffee that consumers are willing and able to buy at different prices. Since the marginal social benefit curve represents the additional benefit to society, it is the same as the market demand curve for coffee.

The Market Demand Curve for Coffee Is the Same as the