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The Local Community of the Town of Montesia Decides to Plant

Question 41

Multiple Choice

The local community of the town of Montesia decides to plant trees every month as part of its green initiative.Which of the following is true?


A) The marginal social cost of planting trees is lower than the marginal private cost of planting trees.
B) The marginal private benefit from planting trees is higher than the marginal social benefit of planting trees.
C) There is an external benefit from planting trees.
D) There is a deadweight loss in planting trees.

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