Use Figure: Negative Externality and Deadweight Loss I. The figure shows the marginal benefit, marginal private cost, and marginal social cost that are associated with producing a good. The free-market equilibrium price of the good is _____, and the equilibrium quantity is _____ units.
Figure: Negative Externality and Deadweight Loss I
A) $8; 80
B) $8; 60
C) $11; 80
D) $11; 60
Correct Answer:
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