Review the table below ,which shows the quantity supplied and quantity demanded for a private good. Price quantity supplied quantity demanded  $1 3 7 $3 4 6 $5 5 5 $7 6 4           Assume the market shown is a perfectly competitive and has  social costs that exceed private costs . If these social costs were reflected in the market , how many goods would be exchanged . a) fewer than 5 units b) 5 units c) 6 units d)more than 6 units e) indeterminate

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Chapter11: Public Goods And Common Resources
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Review the table below ,which shows the quantity supplied and quantity demanded for a private good.

Price quantity supplied quantity demanded 
$1 3 7
$3 4 6
$5 5 5
$7 6 4
     

 

 

Assume the market shown is a perfectly competitive and has  social costs that exceed private costs . If these social costs were reflected in the market , how many goods would be exchanged .

a) fewer than 5 units

b) 5 units

c) 6 units

d)more than 6 units

e) indeterminate

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