Figure 4-17

-Refer to Figure 4-17.The size of marginal external benefits can be determined by

Name: Figure 4-17 -Refer to Figure 4-17.The size of marginal external benefits can be determined by
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Question

Figure 4-17
 
-Refer to Figure 4-17.The size of marginal external benefits can be determined by

Quizplus · Accepted Answer

Marginal external benefits can be determined by the difference between the demand curve for the market (D₂) and the demand curve that includes both the private benefits and external benefits (D₁). Therefore, the correct choice is C -- D₂ minus D₁ at each output level.

Figure 4-17 -Refer to Figure 4-17.The Size of Marginal External Benefits Can