-The Figure Above Shows the Market for Milk

question 216

Multiple Choice

-The figure above shows the market for milk. If the government pays the milk producers a subsidy and production increases to 300 gallons per day

• A) the market is efficient because the marginal social benefit from the last gallon of milk exceeds its marginal social cost.
• B) the market is efficient because the total social benefit from milk exceed the total social cost.
• C) there is a deadweight loss because the marginal social benefit from the last gallon of milk exceeds its marginal social cost.
• D) there is a deadweight loss because the marginal social cost of the last gallon of milk exceeds its marginal social benefit.

---

Definitions:

Workouts

Planned sessions of physical exercise or training aimed at enhancing physical fitness or achieving specific fitness goals.

Fluid Replacement

The process of restoring lost body fluids, such as water and electrolytes, especially important during and after physical activity.

Heat Index

A measure that combines air temperature and humidity to describe how hot it feels to the human body.

Body Fat

The portion of the human body that consists of fat tissue, important for energy storage and insulation.