Figure 5-6

Figure 5-6 shows the market for measles vaccinations, a product whose use generates positive externalities.
-Refer to Figure 5-6.What is the market equilibrium output level?

Question

Figure 5-6
  
Figure 5-6 shows the market for measles vaccinations, a product whose use generates positive externalities.
-Refer to Figure 5-6.What is the market equilibrium output level?

Quizplus · Accepted Answer

The market equilibrium output level is the quantity at which the quantity supplied equals the quantity demanded. In Figure 5-6, this occurs at point E, where the supply curve and the demand curve intersect. The output level at this point is Q₁.

Figure 5-6 Figure 5-6 Shows the Market for Measles Vaccinations, a Product