Consider a competitive market with negative externalities and a firm in this market. To force this firm to consider these negative externalities, the government may impose a quantity tax equal to . After imposing this tax this firm will produce at a level for which_____. MSC , P=MDC. МС, Р-MSC. MDC, P=MSC. None of the answers are right. МАС, Р- МС.

ENGR.ECONOMIC ANALYSIS
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Chapter1: Making Economics Decisions
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Consider a competitive market with negative externalities and a firm in this market.
To force this firm to consider these negative externalities, the government may
impose a quantity tax equal to -__-- After imposing this tax this firm will produce at
a level for which_____.
MSC , P=MDC.
O MC, P=MSC.
MDC, P=MSC.
None of the answers are right.
MAC , P= MC.
Transcribed Image Text:Consider a competitive market with negative externalities and a firm in this market. To force this firm to consider these negative externalities, the government may impose a quantity tax equal to -__-- After imposing this tax this firm will produce at a level for which_____. MSC , P=MDC. O MC, P=MSC. MDC, P=MSC. None of the answers are right. MAC , P= MC.
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