If Jamal Successfully and Completely Internalizes a Negative Externality, It

question 173

Multiple Choice

If Jamal successfully and completely internalizes a negative externality, it follows that

• A)transaction costs are zero.
• B)his marginal private costs are equal to marginal social costs.
• C)information is asymmetric.
• D)information is symmetric.
• E)none of the above

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