Use the Figure Below to Answer the Following Questions

Multiple Choice

Use the figure below to answer the following questions.

Figure 17.3.2
-Figure 17.3.2 shows the marginal private cost cure, marginal social cost curve, and marginal social benefit curve for raising goats on a common pasture. To achieve an efficient quantity, the price of an ITQ is set at

A) $7.50 per litre of milk.
B) $2.00 per litre of milk.
C) $6.00 per litre of milk.
D) $1.50 per litre of milk.
E) $4.50 per litre of milk.