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    Principles of Microeconomics Study Set 2
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    Exam 10: Externalities and Property Rights
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    Refer to the Figure Below
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Refer to the Figure Below

Question 21

Question 21

Multiple Choice

Refer to the figure below. This graph describes a good that: Refer to the figure below. This graph describes a good that:   A) generates positive externalities. B) should be banned. C) generates negative externalities. D) the government should subsidize.


A) generates positive externalities.
B) should be banned.
C) generates negative externalities.
D) the government should subsidize.

Correct Answer:

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