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The graphs show the demand curves for a public good in a two?person economy. Map out the market demand curve for this public good, and
The graphs show the demand curves for a public good in a two?person economy. Map out the market demand curve for this public good, and determine the optimal amount ofproduction.
Price Price $10 $10 Bill's demand -NWAUA-OD Lisa's demand 0 1 2 3 4 5 6 7 8 9 10 0 1 2 3 4 5 6 7 8 9 10 Output OutputMarket for Public Good 20 19 18 Marginal 17 16 15 14 13 Price ($) 1 2 3 4 5 6 7 8 9 10 OutputWhat is the optimal level of production for this public good? optimal output: units
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