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If the Marginal Social Cost of Producing a Good Exceeds

Question 105

Multiple Choice

If the marginal social cost of producing a good exceeds the marginal private cost,then _____


A) the quantity of the good being produced is too less.
B) the price charged for the good is too high.
C) the good produces a positive externality.
D) the good produces a negative externality.
E) social welfare is likely to increase by producing more of the good.

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