When an Externality Is Present, the Market Equilibrium Is

question 116

Multiple Choice

When an externality is present, the market equilibrium is

• A)efficient, and the equilibrium maximizes the total benefit to society as a whole.
• B)efficient, but the equilibrium does not maximize the total benefit to society as a whole.
• C)inefficient, but the equilibrium maximizes the total benefit to society as a whole.
• D)inefficient, and the equilibrium does not maximize the total benefit to society as a whole.

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Definitions:

Economic Disadvantage

A condition wherein individuals or communities have significantly less financial resources and opportunities compared to the broader society.

Sexually Transmitted Infections

Infections transmitted through sexual contact, caused by bacteria, viruses, or parasites.

Health Care Providers

Professionals who offer preventive, curative, promotional, or rehabilitative health care services in a systematic way to individuals, families, or communities.

U.S. Adolescent Girls

Female youths in the United States, typically between the ages of 12 and 18.