The table above provides information about the marginal private benefit for education
The marginal private cost, which also equals the marginal social cost, of educating a student is $16,000 per year and does not change as more students are educated. There is an external benefit from education that is equal to $12,000 per student year and does not change as more students are educated. What is the efficient amount of education? A) 40,000 student-years
B) 60,000 student-years
C) 80,000 student-years
D) 100,000 student-years
D
You might also like to view...
With price leadership,
a. price equals marginal cost b. the industry output is generally greater than a competitive industry c. prices are set by explicit collusion d. firms price discriminate among different classes of customers e. there is no formal agreement regarding prices
A count variable refers to a dependent variable that can take on:
A. nonnegative integer values. B. nonnegative fractional values. C. negative fractional values. D. negative integer values.
Figure 10-7
?
?
Which of the diagrams in Figure 10-7 shows an economic recession caused primarily by a change aggregate demand?
A. (A) B. (B) C. (C) D. (D)
A decrease in the cost of nitrogen fertilizer will
A. shift the supply curve of US corn to the right. B. shift the demand curve of US corn to the left. C. shift the demand curve for US corn to the right. D. shift the supply curve for US corn to the left.