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Suppose a Certain Good Conveys Either an External Cost or an External

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Suppose a certain good conveys either an external cost or an external benefit. If the private cost of the last unit of the good that was produced is equal to the private value of that unit, then the sum of producer and consumer surplus is maximized.


Definitions:

Operating System

The software that manages hardware and software resources on a computer and provides common services for computer programs.

External Storage

Storage devices not housed within the computer's main case, such as USB drives, external hard drives, or cloud storage, used for additional data storage.

UPS

An acronym for Uninterruptible Power Supply, a device that provides backup power to a computer system in the event of a power outage or fluctuation.

Pointing Device

An input device used to control the movement of the cursor on a computer screen, such as a mouse or touchpad.

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