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Suppose That Mick and Cher Are the Only Two Members

Question 80

Multiple Choice

Suppose that Mick and Cher are the only two members of society and are willing to pay $10 and $8, respectively, for the third unit of a public good. Also, assume that the marginal cost of the third unit is $17. We
Can conclude that


A) the third unit should not be produced.
B) the third unit should be produced.
C) zero units should be produced.
D) 4 units should be produced.

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