Answer the Next Question on the Basis of the Following

question 133

Multiple Choice

Answer the next question on the basis of the following information is for public good.P_a and P_b represent the prices that citizens (a) and (b) , the only two people in this nation, are willing to pay for additional units of a quantity (Q_c) of the public good.Q_s represents the quantity of the public good supplied by government at each of the collective prices.Refer to the information below.If the collective willingness to pay for an additional unit of this public good is $6, then the collective quantity demanded will be:

• A)1 unit and the socially optimal quantity supplied will be 5 units.
• B)2 units and the socially optimal quantity supplied will be 4 units.
• C)3 units and the socially optimal quantity supplied will be 3 units.
• D)4 units and the socially optimal quantity supplied will be 2 units.

---

Definitions:

Competitive Strategies

Techniques and plans that a company adopts to attract customers, withstand competitive pressures, and strengthen an organization’s market position.

Competitive Edge

A distinct advantage that allows an organization to outperform its competitors.

Cost Leadership

A business strategy aiming to achieve the lowest operational costs within an industry, enabling the company to offer lower prices than competitors and gain market share.

Brand Loyalty

The tendency of consumers to continuously purchase one brand's products over competing ones due to positive experiences and satisfaction.