Landowners whose property is seized through eminent domain share in the gains that result from the taking of their property

The figure above shows the market for coffee. When the efficient quantity of coffee is produced, the marginal social benefit from the last pound is

A) $1.00. B) $2.50. C) $3.00. D) $4.00.

Suppose that the marginal social benefit from another unit of a public good is less than the marginal social cost of producing it. Then

A) the principle of minimum differentiation means that production should be decreased. B) the number of free riders is at its efficient amount. C) less of the product should be produced because its provision exceeds the efficient level. D) more of the product should be produced because its provision is less than the efficient level.