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    Microeconomics Study Set 51
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    Exam 17: Market Failure: Externalities, Public Goods, and Asymmetric Information
  5. Question
    Exhibit 30-2 ​ Refer to Exhibit 30-2. If the Exhibit Represents a Positive
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Exhibit 30-2 ​ Refer to Exhibit 30-2. If the Exhibit Represents a Positive

Question 4

Question 4

Multiple Choice

Exhibit 30-2 ​
Exhibit 30-2 ​   Refer to Exhibit 30-2. If the exhibit represents a positive externality situation, the social benefit of expanding output from Q<sub>1</sub> to Q<sub>2</sub> is the area of A) Q<sub>1</sub>ABQ<sub>2</sub>. B) Q<sub>1</sub>AEQ<sub>2</sub>. C) Q<sub>1</sub>CBQ<sub>2</sub>. D) ABE.
Refer to Exhibit 30-2. If the exhibit represents a positive externality situation, the social benefit of expanding output from Q1 to Q2 is the area of


A) Q1ABQ2.
B) Q1AEQ2.
C) Q1CBQ2.
D) ABE.

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