A Positive Externality Exists and Government Wants to Impose a Subsidy

question 49

Multiple Choice

A positive externality exists and government wants to impose a subsidy in order to bring about an efficient outcome.To accomplish its objective,government must set the subsidy equal to marginal

• A) private cost.
• B) social benefit.
• C) external cost.
• D) social cost.
• E) external benefit.

---

Definitions:

Cohesion

The extent to which members of a group or team stick together and remain united in pursuing common goals and objectives.

Group Therapy

Group Therapy is a form of psychotherapy that involves one or more therapists working with several people at the same time.

Online Support Groups

Virtual communities where individuals can seek and provide emotional and informational support on various issues, facilitated by digital platforms.

Intimacy

The emotional closeness and deep personal connection that develops between individuals, characterized by mutual understanding, caring, and sharing.