Consider the MMR vaccine which you get one dose for a lifetime of protection against measles, mumps and rubella. The private benefit for a person who receives the vaccine is $100. But, getting the vaccine contributes positively to society as it reduces other people's chance of being sick, so the external benefit is $50. The vaccine company produces with a total cost of T C = 10, 000 Q 1 2 Q2 (a) If people who want the vaccine must pay for it, how many people will get it? (b) If the government decides to subsidize the vaccine to achieve the social optimum, how many vaccines are they willing to buy? (c) What is the deadweight loss of letting people pay for their own vaccine? Page 2 of 2