Refer to the Graph Below,where MSC Is the Marginal Social

question 81

Multiple Choice

Refer to the graph below,where MSC is the marginal social cost and MSB is the marginal social benefit. If external benefits could be internalized,the competitive equilibrium price would be __________ per unit and the competitive equilibrium quantity would be _______ units.

• A) $10;10
• B) $9;9
• C) $9;11
• D) $8;10
• E) $4;6

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Definitions:

Reward

A benefit or positive reinforcement given for a desired behavior, encouraging the behavior to occur again.

Phobia

An irrational and excessive fear of an object, situation, or activity that causes significant distress or interferes with daily life.

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Rehearsing

The act of practicing or repeating something, such as information or a skill, to improve performance or memorization.