-The above figure shows the marginal private cost curve,marginal social cost curve,and marginal social benefit curve for cod,a common resource.The market equilibrium with no government intervention is ________.
A) 0 tons per week
B) 200 tons per week
C) 400 tons per week
D) 500 tons per week
E) None of the above answers is correct.

Question

-The above figure shows the marginal private cost curve,marginal social cost curve,and marginal social benefit curve for cod,a common resource.The market equilibrium with no government intervention is ________.
A) 0 tons per week 
B) 200 tons per week 
C) 400 tons per week 
D) 500 tons per week 
E) None of the above answers is correct.

Quizplus · Accepted Answer

In the absence of government intervention, the market equilibrium occurs where the marginal private cost equals the marginal social benefit. This typically happens at the quantity where the private cost curve intersects the social benefit curve, which is given as 400 tons per week.

-The Above Figure Shows the Marginal Private Cost Curve,marginal Social