In the Following Graph, MPC and MSC Represent the Marginal

question 4

Multiple Choice

In the following graph, MPC and MSC represent the marginal private cost and marginal social cost of producing a good respectively. QD represents the demand for the good. Refer to the graph to answer the question. Which of the following statements is true?

• A) The MPC of production is greater than the MSC of producing the good.
• B) The quantity of the good produced in the market will be higher than the socially optimal
• C) For the market to produce the socially optimal level of output, the government should provide a subsidy.
• D) There is a positive externality associated with the production and consumption of this

Understand key nutritional guidelines and recommendations for a balanced diet.

Understand methods and strategies for healthy weight loss.

Recognize symptoms and treatments for eating disorders such as bulimia nervosa and anorexia nervosa.

Implement strategies for cost-effective and convenient consumption of fruits and vegetables.

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Definitions:

Taxi

A vehicle available for hire with a driver, used by a single passenger or small group of passengers, often for a non-shared ride.

Injured Ankle

A physical condition involving harm or damage to the ankle, likely affecting mobility or causing pain.

Icy Sidewalk

A pavement surface that becomes slippery and hazardous due to a layer of ice formation.

Res Ipsa Loquitur

A legal doctrine that infers negligence on the part of the defendant when the accident that caused the injury is one that ordinarily does not occur in the absence of negligence.