In a market with positive externalities, the market equilibrium price will be less than the efficient equilibrium price.

Name: In a market with positive externalities, the market equilibrium price will be less than the efficient equilibrium price.
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In a market with positive externalities, the social benefits exceed the private benefits, leading to underproduction and a lower market equilibrium price compared to the efficient equilibrium price where social benefits are maximized.

In a Market with Positive Externalities, the Market Equilibrium Price