The supply and demand conditions facing a firm that makes widgets and generates a negative externality by dumping a highly toxic sludge in a nearby river is given in the table below. Price Quantity Demanded Quantity Supplied without Paying Social Costs Quantity Supplied after Paying Social Costs 100 0 120 75 80 10 100 50 55 30 90 30 40 55 85 25 30 80 80 20 20 100 65 15 The equilibrium price and quantity when only private costs are taken into account are Question 11 options:   Price = $55, Quantity = 30   Price = $40, Quantity = 55   Price = $30, Quantity = 20   Price = $30, Quantity = 80

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A: Option A )  It is a classic case of negative externality. Every government  tries to internalise the…

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A: (Q) Automobile production imposes a negative externality. The government imposes a per-unit tax on…

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A: # Demand function : P = 200 - 2Q  # Marginal Cost = 40 + 0.5Q # Marginal external cost = 1.5Q

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Q: Hand written solutions are strictly prohibited

A: The objective of the question is to identify the equilibrium price and quantity after the social…

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A: MPB=Marginal Private Benefit  MSB=Marginal Social Benefit MSB=MPB+MEB where MPB=marginal private…

Q: a.  Graph the supply and demand curves, and calculate the equilibrium price and quantity. Make sure…

A:

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Q: The supply and demand conditions facing a firm that makes widgets and generates a negative…

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A: Provided information: It is given in the question that- Equation of the supply curve- QSX = -100 + 3…

Q: 1) Does the above diagram depict a positive externality or a negative externality? 2) What is the…

A: Answer; 1.   The above diagram depicts negative externality since the Marginal social cost is…

Q: Suppose the demand for an industrial product is given by P equals 300 minus 2 Q , and the supply is…

A: Externality is a case of market failure when the production or consumption of a good or service by…

Q: The table below shows the supply and demand conditions for a furniture factory that pollutes the…

A: Note: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the question…

Q: None

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Q: Problem 5 refers to the following setup: The demand curve in a market is Q = 6-P. Firm A and B are…

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Q: Refer to Figure 2  in Question 20. What price and quantity combination best represents the socially…

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A: The firm produces a specific quantity of goods that are utilized by common people. The good itself…