Market failure can be avoided when O Return = PQ-Cp [P= price; Q= sale' Cp = cost of production] O Return = PQ - Cp -Cc [P= price; Q= sale' Cp = cost of pollution control] O Welfare = PQ - Cp - Cs [P= price; Q= sale; Cp = cost of production Cs = Social cost] None of the above

Market failure can be avoided when O Return = PQ-Cp [P= price; Q= sale' Cp = cost of production] O Return = PQ - Cp -Cc [P= price; Q= sale' Cp = cost of pollution control] O Welfare = PQ - Cp - Cs [P= price; Q= sale; Cp = cost of production Cs = Social cost] None of the above

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

Market failure can be avoided when
O Return = PQ-Cp [P= price; Q= sale' Cp = cost of production]
O Return = PQ - Cp -Cc [P= price; Q= sale' Cp = cost of pollution control]
O Welfare = PQ - Cp - Cs [P= price; Q= sale; Cp = cost of production Cs = Social cost]
None of the above

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