V111. 1.

A reading club is located next to a bookstore. The club invites A authors per month to discuss their books and earns profits of 364 - . The bookstore sells # books and earns profits of 18 8 - B + AB. 1st attempt Part 1 (1 point) See Hint Each business causes a positive effect (a positive externality) on the other business. Choose one: O A true O B. false Part 2 (1 point) See HintPart 1 (1 point) See Hin Each business causes a positive effect (a positive externality) on the other business. Choose one: O A true O B. false Part 2 (1 point) See Hint Assume business owners care strictly about maximizing profits. Compare the case where the book club and the bookstore are owned by two separate owners versus the case where they are owned by the same owner. In the case of a single owner, we would expect that more books are sold than under separate ownership