Consider a Setting in Which There Is a Positive Externality,but

question 28

Multiple Choice

Consider a setting in which there is a positive externality,but no negative externality.The market outcome is __________________; government can bring about the ___________________ outcome if it sets a subsidy equal to the __________________.

• A) inefficient; efficient; MEB
• B) inefficient; efficient; MEC
• C) efficient; inefficient; MPC
• D) inefficient; efficient; MPB
• E) inefficient; efficient; MSB

---

Definitions:

Mental Illness

A wide range of mental health conditions that affect mood, thinking, and behavior, and can impact daily living, relationships, and physical health.

Ancient Times

A historical period well before the Middle Ages, usually considered to include civilizations like the Egyptians, Greeks, and Romans among others.

Social Norm Deviance

The behavior of violating the established social norms, which leads to social sanctions or disapproval.

Fraternity Initiation

Rituals and activities involved in the admission of new members into a fraternity, often characterized by various levels of social events, tasks, and sometimes hazing.