Multiple Choice
In a competitive market, if the production process involves an external benefit, the market will
A) produce the economically efficient outcome.
B) result in a market price that is higher than the efficient one.
C) result in a market price that is lower than the efficient one.
D) result in too much of the good being produced compared to the ideal efficient outcome.
Correct Answer:
Verified
Correct Answer:
Verified
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