Use the Figure Below to Answer the Following Question

question 3

Multiple Choice

Use the figure below to answer the following question.

Figure 17.2.2
-Refer to Figure 17.2.2. The graph shows the marginal social benefit and marginal social cost of a garbage disposal system in a city of 1 million people. If voters are well informed about the costs and benefits of the garbage disposal system, the political equilibrium of garbage is

• A)2.0 million tonnes a day.
• B)1.5 million tonnes a day.
• C)2.5 million tonnes a day.
• D)4.0 million tonnes a day.
• E)0 million tonnes a day.

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Definitions:

Habitual Purchasers

Consumers who buy the same brands or products repeatedly out of habit rather than through active decision-making based on price, quality, or other factors.

Extended Problem-Solving

A consumer decision-making process used for high involvement purchases, requiring considerable time and effort in evaluating alternatives.

Reference Group

One or more persons whom an individual uses as a basis for comparison regarding beliefs, feelings, and behaviors.

Indirect Influence

The subtle, non-direct impact that an entity or action may have on people's decisions, behaviors, or outcomes without explicit instruction or direct intervention.