Jess
April 7th, 2013, 11:27 AM
Can someone actually check it this time??? Yeah, thanks :yawn:
5. The difference between the marginal social benefit curve and the market demand curve is the:
A. marginal external cost.
B. marginal benefit to the consumers of the good.
C. marginal external benefit.
D. additional cost of producing an additional good.
9. If a good that involves external costs is priced to take these costs into account, then its price will:
A. rise, and output will fall.
B. not change, but output will fall.
C. rise, but output will stay the same.
D. fall, and output will go up.
https://courseweb.pitt.edu/courses/1/2134_UPITT_ECON_0100_SEC1030/ppg/d6/brg00015191fd18280a4/r2-1.png
18. Given the figure Model of a Competitive Market, if there are no external benefits or costs, the output at Q will be:
A. inefficient.
B. smaller than is socially desirable.
C. efficient.
D. larger than is socially desirable.
19. Given the figure Model of a Competitive Market, if there are external costs:
A. resources will be allocated efficiently to the production of the good.
B. the price at P will be higher than if there were no external costs.
C. resources will be underallocated to the production of the good.
D. resources will be overallocated to the production of the good.
5. The difference between the marginal social benefit curve and the market demand curve is the:
A. marginal external cost.
B. marginal benefit to the consumers of the good.
C. marginal external benefit.
D. additional cost of producing an additional good.
9. If a good that involves external costs is priced to take these costs into account, then its price will:
A. rise, and output will fall.
B. not change, but output will fall.
C. rise, but output will stay the same.
D. fall, and output will go up.
https://courseweb.pitt.edu/courses/1/2134_UPITT_ECON_0100_SEC1030/ppg/d6/brg00015191fd18280a4/r2-1.png
18. Given the figure Model of a Competitive Market, if there are no external benefits or costs, the output at Q will be:
A. inefficient.
B. smaller than is socially desirable.
C. efficient.
D. larger than is socially desirable.
19. Given the figure Model of a Competitive Market, if there are external costs:
A. resources will be allocated efficiently to the production of the good.
B. the price at P will be higher than if there were no external costs.
C. resources will be underallocated to the production of the good.
D. resources will be overallocated to the production of the good.