Multiple Choice
If there are external benefits or positive externalities associated with the consumption of a good or service:
A) the private demand curve will overestimate the true demand curve.
B) the private demand curve will underestimate the true demand curve.
C) consumers will be willing to pay for all these benefits in private markets.
D) the market demand curve will be the vertical summation of the individual demand costs.
Correct Answer:

Verified
Correct Answer:
Verified
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