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In the Production of Peanut Butter, If Peanuts 'R' Us

Question 94

Multiple Choice

In the production of peanut butter, if Peanuts 'R' Us, Inc.discards broken peanut shells onto an adjacent recreational area, this situation will most likely lead to the market failure of:


A) external cost.
B) deregulation.
C) monopoly power.
D) imperfect information.

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