Solved

If a Production Quota Is Set Below the Equilibrium Quantity

Question 23

Multiple Choice

If a production quota is set below the equilibrium quantity, at the quota quantity, marginal benefit is ________ marginal cost and the level of production is ________.


A) greater than; inefficient
B) greater than; efficient
C) less than; inefficient
D) equal to; efficient

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Q18: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8586/.jpg" alt=" -The figure above

Q19: Do rent ceilings result in any deadweight

Q20: A price floor<br>A) always results in a

Q21: The government of Healthyland imposes a tax

Q22: The minimum wage<br>A) is type of price

Q24: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8586/.jpg" alt=" -In the above

Q25: Can the incidence of a sales tax

Q26: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8586/.jpg" alt=" -In the above

Q27: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8586/.jpg" alt=" -In the figure

Q28: A price ceiling is a price<br>A) below