Multiple Choice
If a good produces a positive externality and the government does not correct it, the equilibrium market quantity is ________ than the socially optimal quantity and the equilibrium market price is than the socially optimal price.
A) higher; higher .
B) lower; lower .
C) lower; higher .
D) higher; lower
Correct Answer:
Verified
Correct Answer:
Verified
Q15: Network externalities are often:<br>A)separate from positive feedback.<br>B)a
Q16: According to the Coase theorem, a market
Q17: If externalities are fully internalized, an outcome
Q18: All of the following are examples of
Q19: If at the current amount of pollution,
Q21: When an activity like education generates a
Q22: If the number of available tradable emissions
Q23: Which of the following is not an
Q24: Which of the following is an example
Q25: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB1063/.jpg" alt=" (Table: