Answer the question based on the following information for a public good. Pa and Prare the prices that individuals A and B are willing to pay for the last unit of a public good, rather than do without it. These people are the only two members of society. Pa Pb 1 $ 3 $ 5 2 eBook 3 2 If the marginal cost of producing this good at the optimal quantity is $8, the optimal quantity must be Multiple Choice 3 units 4 units 5 units 1 unit 2 units Mc Graw < Prev 6 of 20 Next> P Type here to search 1029 AM

ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN:9780190931919
Author:NEWNAN
Publisher:NEWNAN
Chapter1: Making Economics Decisions
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Answer the question based on the following information for a public good. Pa and Pp are the prices that individuals A and B are willing to pay for the last unit of a public good, rather than do without it. These people
are the only two members of society.
Pa
Pb
$ 3
$ 5
2
eBook
1
3
4
If the marginal cost of producing this good at the optimal quantity is $8, the optimal quantity must be
Multiple Choice
3 units.
4 units.
5 units.
1 unit
2 units.
Mc
Graw
Hill
< Prev
6 of 20
Next >
9 Type here to search
10:29 AM
84°F Sunny
10/2/2021
Transcribed Image Text:6 Answer the question based on the following information for a public good. Pa and Pp are the prices that individuals A and B are willing to pay for the last unit of a public good, rather than do without it. These people are the only two members of society. Pa Pb $ 3 $ 5 2 eBook 1 3 4 If the marginal cost of producing this good at the optimal quantity is $8, the optimal quantity must be Multiple Choice 3 units. 4 units. 5 units. 1 unit 2 units. Mc Graw Hill < Prev 6 of 20 Next > 9 Type here to search 10:29 AM 84°F Sunny 10/2/2021
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