Question 8 1 pts Consider a competitive market with a MSB = 43-4q and a MPC = 11 + 3q. There is a negative production
Question 8 1 pts Consider a competitive market with a MSB = 43-4q and a MPC = 11 + 3q. There is a negative production externality of e = 3q, where q is the level of output in the market. What is the DWL that results in the market equilibrium? [Round your answer to two decimal places when needed] Question 9 1 pts An inefficiency can arise in the provision of public good: Because the good is non-rival. O As a private sector firm cannot enforce payment for the good by all the individuals who benefit from it. O Because the marginal benefit curve for society is the vertical summation of individual MB curves. O a and c O None of the above
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