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Question 20 (1 point) Figure: Negative Externalities and Production of Pigs Price, marginal social cost of pigs $1,200 1,100 1,000 900 800 700 600 500

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Question 20 (1 point) Figure: Negative Externalities and Production of Pigs Price, marginal social cost of pigs $1,200 1,100 1,000 900 800 700 600 500 400 300 200 100 0 50 100 150 200 250 300 350 400 450 500 550 Reference: Ref 19-5 ily a e (Figure: Negative Externalities and Production of Pigs) If the marginal external cost of producing a pig is $400, then the socially optimal quantity of pigs isand the socially optimal price is Quantity of pigs a) 250; $700 b) 300; $1,200 c) 150; $900 d) 200; $800

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