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If Consuming a Good Creates a Positive Externality, _____

Question 45

Multiple Choice

If consuming a good creates a positive externality, _____.​


A) the marginal private benefit from consuming the good exceeds the marginal social benefits
B) the marginal social benefit from consuming the good exceeds the marginal private benefits​
C) the private demand for the good is equal to the marginal social benefit​
D) the private demand for the good is greater than the marginal social benefit​
E) the private demand curve for the good shifts to the right to coincide with the marginal social benefit curve​

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