Question
If Social Marginal Benefit (SMB) < Price (P) = Buyer's private marginal benefit (MB) = Seller's private marginal cost (MC) = Social marginal cost (SMC):
If Social Marginal Benefit (SMB) < Price (P) = Buyer's private marginal benefit (MB) = Seller's private marginal cost (MC) = Social marginal cost (SMC):
Group of answer choices
a.Too much is supplied.
b.Too little is supplied.
c.The socially optimal amount is supplied.
d.Firms are not maximizing profits.
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Legal Fundamentals for Canadian Business
Authors: Richard A. Yates
4th edition
133370283, 978-0133370287
