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If the Production of a Good Involves Positive Externalities,________

Question 56

Multiple Choice

If the production of a good involves positive externalities,________.


A) the market price of the good is higher than its optimal price
B) the market price of the good is lower than its optimal price
C) the average cost of production of the good in the long run is zero
D) the variable cost of production of the good is zero

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