-The Above Figure Shows the Marginal Private Benefit and Marginal

question 429

Multiple Choice

-The above figure shows the marginal private benefit and marginal social cost of a college education. If society's external benefits from college graduates is $10,000 each, then

• A) a subsidy of $10,000 per student paid to colleges will achieve efficiency.
• B) a tax of $10,000 per student imposed on the colleges will achieve efficiency.
• C) 10 million students per year is the efficient number students.
• D) None of the above answers are correct.

---

Definitions:

Internet Infrastructure

The physical and virtual technologies, including the vast network of servers, cables, satellites, and software, that enable the functioning of the global internet.

Web Services

Technology that allows different machines to communicate with each other over the internet through standardized protocols, enabling interoperability.

Mainframes

Powerful computers used primarily by large organizations for critical applications, processing bulk data, and enterprise resource planning.

Cloud Computing

Delivery of computing services—including servers, storage, databases, networking, software, analytics, and intelligence—over the internet to offer flexible resources and economies of scale.