-In the above table, if the market is perfectly competitive and unregulated, at the equilibrium output level
A) marginal private cost equals the marginal private benefit.
B) marginal private cost is less than the marginal private benefit.
C) marginal social cost equals the marginal private benefit.
D) marginal social cost is greater than the marginal private benefit.

Question

-In the above table, if the market is perfectly competitive and unregulated, at the equilibrium output level
A) marginal private cost equals the marginal private benefit. 
B) marginal private cost is less than the marginal private benefit. 
C) marginal social cost equals the marginal private benefit. 
D) marginal social cost is greater than the marginal private benefit.

Quizplus · Accepted Answer

In a perfectly competitive and unregulated market, equilibrium is reached where marginal private cost equals marginal private benefit, ensuring that resources are allocated efficiently.

-In the Above Table, If the Market Is Perfectly Competitive