A Benevolent Social Planner Would Prefer That the Output of Good

question 182

Multiple Choice

A benevolent social planner would prefer that the output of good x be decreased from its current level if, at the current level of output of good x,

• A)social cost = private cost = private value < social value.
• B)social cost > private value = social value > private cost.
• C)social value = private value = private cost < social cost.
• D)social value = private cost = social cost > private value.

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Definitions:

Sensory Storage

A type of memory storage that temporarily retains impressions of sensory information after the original stimuli have ended.

Sequential Memory

The ability to remember sequences of objects, events, or actions in the order they were experienced or presented.

Storage Of Information

The process by which information is encoded, maintained, and retrieved in the brain or in digital systems.

Classical Conditioning

A type of learning in which an organism responds in a particular way to a neutral stimulus that normally does not bring about that type of response.