If the production of a good creates pollution, then the
A) marginal social benefit curve lies above the marginal private benefit curve.
B) marginal social cost curve lies above the marginal private cost curve.
C) marginal social benefit curve lies below the marginal private benefit curve.
D) marginal social cost curve lies below the marginal private cost curve.
Correct Answer:
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Q46: Q47: Q48: For a good whose production creates a Q49: If production of a good creates an Q50: The efficient quantity of output of a Q52: Resources are efficiently utilized when production is Q53: In the absence of property rights, factories Q54: Generating electricity using coal creates air pollution. Q55: If a good has an external cost, Q56: Consider an industry that produces an output
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