Business, 29.10.2019 03:31 tragicteekaay

Suppose that a negative externality is created by the production of good x. which of the following statements is correct?
a. the social cost of producing good x includes the private cost plus the cost to bystanders of the externality.
b. the increased social cost can be graphed as a decrease in demand.
c. the market equilibrium quantity will be the socially optimal quantity as long as the government does not interfere.
d. both a and b are correct.

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Suppose that a negative externality is created by the production of good x. which of the following s...

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