Use the Following to Answer Questions

question 45

Multiple Choice

Use the following to answer questions:
Figure: Model of a Competitive Market
-(Figure: Model of a Competitive Market) Given the figure Model of a Competitive Market, if there are no external benefits or costs, the output at Q will be:

• A) larger than is socially desirable.
• B) smaller than is socially desirable.
• C) efficient.
• D) inefficient.

---

Definitions:

Benefits Plan

A range of employee benefits offered by employers, including health insurance, retirement plans, and paid time off.

Health Insurance

A type of insurance coverage that pays for medical and surgical expenses incurred by the insured.

Dental Plans

Insurance coverage plans that help pay for the costs of dental care.

Employee Benefits

Various types of non-wage compensation provided to employees in addition to their normal wages or salaries, such as health insurance, pension plans, and paid vacations.