Figure 10-2

-Refer to Figure 10-2.Suppose that the production of soccer balls creates a social cost which is depicted in the graph above.Without any government regulation,how many soccer balls will be produced?
A)3
B)10
C)25
D)50

Question

Figure 10-2
 
-Refer to Figure 10-2.Suppose that the production of soccer balls creates a social cost which is depicted in the graph above.Without any government regulation,how many soccer balls will be produced?
A)3 
B)10 
C)25 
D)50

Quizplus · Accepted Answer

Without government regulation, the quantity produced is determined by the intersection of the private supply and demand curves, which is typically the highest quantity shown, in this case, 50.

Figure 10-2 -Refer to Figure 10-2.Suppose That the Production of Soccer Balls