In a Competitive Market with No Externalities

question 171

Multiple Choice

In a competitive market with no externalities,

• A) the consumer surplus is equal to zero because of competition.
• B) buyers cannot control the price, so the consumer surplus is zero.
• C) at the equilibrium price, marginal benefit exceeds marginal cost.
• D) at the equilibrium price, marginal benefit equals marginal cost.
• E) at the equilibrium price, the total amount of consumer surplus equals the total amount of producer surplus.

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Definitions:

Conduct Disorder

A serious behavioral and emotional disorder in children and adolescents characterized by a long-term pattern of antisocial behavior, aggression, and a disregard for others.

Juvenile Delinquency

Refers to anti-social or criminal behavior by individuals under the age of 18.

Attention-deficit/hyperactivity Disorder

A neurodevelopmental disorder characterized by patterns of inattention, hyperactivity, and impulsivity that interfere with functioning or development.

Conduct Disorder

A psychological disorder characterized by a repetitive and persistent pattern of behavior in which the basic rights of others or major age-appropriate societal norms or rules are violated.