Question
The term fast fashion refers to low-quality clothing items produced cheaply in mass quantities. As a buyer typically only wears each fast fashion piece a
The term "fast fashion" refers to low-quality clothing items produced cheaply in mass quantities. As a buyer typically only wears each fast fashion piece a few times, the fast fashion industry creates extra factory pollution and landfill waste. The market price of a fast-fashion I-shirt is $12, but the marginal external cost is $2.50 per shirt. What is the marginal social cost of a fast-fashion T-shirt at the market equilibrium quantity?
O $14 50
O $9.50
O $12.00
$2.50
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Macroeconomics
Authors: Andrew B. Abel, Ben S. Bernanke, Dean Croushore, Ronald D. Kneebone
8th Canadian Edition
134646355, 9780134842615 , 978-0134646350
