Multiple Choice
In the presence of positive externalities, a free market will choose a price which is too ____ and produce an output which is too ____ compared with the social optimum.
A) high; low
B) low; low
C) high; high
D) low; high
E) marginal; inequitable
Correct Answer:
Verified
Correct Answer:
Verified
Related Questions
Q121: A good that provides external benefits to
Q186: Exhibit 4-3 Supply and demand curves <img
Q189: A good example of a price floor
Q190: If the equilibrium price of bread is
Q192: Which of the following is a public
Q193: A decrease in demand leads to a
Q194: Public goods are usually provided by:<br>A) private
Q195: An increase in the price of plastic
Q196: It's easy for a private firm to
Q259: Suppose a new law requires all piercing