Refer to the Graph Below,where MB Is Marginal Benefit and MSB

question 128

Multiple Choice

Refer to the graph below,where MB is marginal benefit and MSB is marginal social benefit. Assuming there is a marginal external cost equal to the tax shown in the graph,the per-unit tax necessary to induce consumers to purchase the efficient quantity each year is

• A) $1.
• B) $2.
• C) $3.
• D) $4.
• E) $5.

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Definitions:

Avoidant Personality

A personality disorder characterized by feelings of extreme social inhibition, inadequacy, and sensitivity to negative criticism and rejection.

Schizoid Personality

A personality disorder characterized by a long-term pattern of detachment from social relationships and a restricted range of emotional expression.

Fear of Rejection

A deep-seated anxiety about being spurned or turned away by others, impacting interpersonal relationships and self-esteem.

Interpersonal Intimacy

The closeness between people in personal relationships, characterized by mutual understanding, caring, and emotional bonds.