Negative Externalities----What Kind of Effect Does It Create MSC and MPC b-What kind of an effect does it have in the market equilibrium that gets established? c-How does the q * compare with the q that is a social optimum. Which social optimum ensuring condition is violated as a result of externalities(negative or positive)
a-Negative Externalities----What Kind of Effect Does It Create MSC and MPC
b-What kind of an effect does it have in the
c-How does the q * compare with the q that is a social optimum. Which social optimum ensuring condition is violated as a result of externalities(negative or positive)
d-What about a
e- How does the q* under monopoly compare with the q that would give us the social optimum. How is it related to the incentive structure for a monopoly?
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