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Consider a market in equilibrium. At the equilibrium quantity the marginal benefit to the consumer is less than the marginal social cost of production. In

Consider a market in equilibrium. At the equilibrium quantity the marginal benefit to the consumer is less than the marginal social cost of production. In this situation:

a - total economic surplus would rise if production were reduced below equilibrium

b - there is a negative production externality

c- the demand curve is below the marginal social cost curve at the equilibrium quantity

d - all of these are true

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