Consider that having a well-manicured lawn in a small residential community creates a positive externality equal to $40 per lawn. Suppose the community manager offers a subsidy of $25 to homeowners who maintain a well-manicured lawn. Following this policy, which of the following is correct?

a.The equilibrium quantity is greater than the social optimal quantity.

b.The equilibrium quantity is less than the social optimal quantity.

c.The current subsidy is the ideal corrective subsidy.

d.The current subsidy is greater than the ideal corrective subsidy