Figure: Market Failure (Figure: Market Failure) Look at the Figure Market Failure.Suppose It

Multiple Choice

Figure: Market Failure
(Figure: Market Failure) Look at the figure Market Failure.Suppose it represents the demand and marginal cost of pounds of shrimp in the bay.The additional cost of the shrimp due to the depletion of the common resource is equal to AC.Without government intervention, the price of shrimp will be per pound.

A) 0
B) A
C) B
D) C