Solved

When Consuming a Good Creates Positive Externalities,_____

Question 17

Multiple Choice

When consuming a good creates positive externalities,_____


A) the private demand for the good increases.
B) the private demand for the good decreases.
C) the private demand curve overstates the marginal social benefit of the good.
D) the private demand curve understates the marginal social benefit of the good.
E) the equilibrium quantity traded of the good increases without government intervention.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions