Multiple Choice
If a good is produced by firms that incur all private and external costs, the price consumers pay
A) will be efficient since it includes all social costs.
B) will not be socially acceptable.
C) will be too high because the consumers end up paying all of the costs instead of the firm.
D) will be the correct price, but inefficient.
Correct Answer:

Verified
Correct Answer:
Verified
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