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-In the First Diagram,if the Distance Between S0 and S1

Question 38

Multiple Choice

-In the first diagram,if the distance between S<sub>0</sub> and S<sub>1</sub> represents all spillover effects in this market,then the requirement of marginal-cost pricing is met: A) at the point on S<sub>1</sub> whose horizontal coordinate is Q<sub>1</sub> B) at the point on S<sub>0</sub> whose horizontal coordinate is Q<sub>1</sub> C) at the point on S<sub>1</sub> whose horizontal coordinate is Q<sub>0</sub> D) at the point on S<sub>0</sub> whose horizontal coordinate is Q<sub>0</sub> E) at the origin
-In the first diagram,if the distance between S0 and S1 represents all spillover effects in this market,then the requirement of marginal-cost pricing is met:


A) at the point on S1 whose horizontal coordinate is Q1
B) at the point on S0 whose horizontal coordinate is Q1
C) at the point on S1 whose horizontal coordinate is Q0
D) at the point on S0 whose horizontal coordinate is Q0
E) at the origin

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