How is the marginal social benefit curve positioned on a graph when there are positive externalities?
A) It is above the demand curve and has a negative slope.
B) It is below the demand curve and has a negative slope.
C) It intersects the demand curve and has a positive slope.
D) It intersects the demand curve and has a negative slope.
Correct Answer:
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Q53: (Figure: MSB and Demand Curves) Use the
Q54: (Figure: MSB and Demand Curves) Use the
Q55: (Figure: MSB and Demand Curves 2) Use
Q56: (Figure: MSB and Demand Curves 2) Use
Q57: The marginal private benefit curve is also
Q59: The outcome that is most efficient for
Q60: The socially optimal outcome is the outcome
Q61: The Rational Rule for Society is that
Q62: The idea that society should produce another
Q63: The Rational Rule for Society says that
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