Solve it correctly Assume the market is in equilibrium and there's no government intervention. Match thesestatements.With negative externalities in consumption[ Choose ] [#]With negative externalities in production[ Choose ] [#]With positive externalities in consumption[ Choose ] [#]With positive externalities in production[ Choose ] [#]In the absence of externalitiesV[Choose ][送揮]the equilibrium quantity is equal to the efficient outcomethe equilibrium quantity is larger than the efficient outcomethe equilibrium quantity is smaller than the efficient outcome>

Externality When some of the benefits or costs of producing or consuming a good or service fall on…

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Business

Economics

Solve it correctly

ECON MICRO

5th Edition

ISBN:9781337000536

Author:William A. McEachern

Publisher:William A. McEachern

Chapter17: Externalities And The Environment

Section: Chapter Questions

Problem 2.3P: (Negative Externalities) Suppose you wish to reduce a negative externality by imposing a tax on the...

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Question

Solve it correctly

Assume the market is in equilibrium and there's no government intervention. Match these
statements.
With negative externalities in consumption
[ Choose ] [#]
With negative externalities in production
[ Choose ] [#]
With positive externalities in consumption
[ Choose ] [#]
With positive externalities in production
[ Choose ] [#]
In the absence of externalities
V[Choose ][送揮]
the equilibrium quantity is equal to the efficient outcome
the equilibrium quantity is larger than the efficient outcome
the equilibrium quantity is smaller than the efficient outcome
>

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