-The Above Figure Shows the Marginal Private Benefit and Marginal

Multiple Choice

-The above figure shows the marginal private benefit and marginal social cost of a college education. If society's external benefits from college graduates is $10,000 each, then the private market outcome is inefficient because

A) no students will go to college.
B) society places less value on educating the next student than it will cost society to educate that student.
C) society places greater value on educating the next student than it will cost society to educate that student.
D) the marginal cost will shift upward.