Suppose external benefits are present in a market which results in the actual market price of $14 and market output of 150 units. How does this outcome compare to the efficient, ideal equilibrium?
a. The efficient outcome would be greater than 150 units.
b. The efficient outcome would be less than 150 units.
c. The efficient outcome would also be 150 units.
d. The efficient price would be less than $14.
A
Economics
You might also like to view...
Prisoners in World War II POW camps traded products for other products, a process referred to as
A) central planning. B) advantage exchange. C) barter. D) rationing.
Economics
You developed a new technology for weather stripping windows. Your monopoly in this market turns out to be lucrative. Your total revenue was $75,000 and your total cost— explicit and implicit costs combined—was $25,000 . The $50,000 difference represents your
a. accounting revenue b. accounting profit c. economic profit d. economic revenue e. normal profit
Economics