Suppose the actions of the producers of a good generate an external benefit which results in the actual market price of $30 and market output of 220 units. How does this outcome compare to the efficient, ideal equilibrium?

a. The efficient price would higher than $30 while the efficient output would be less than 220 units.
b. The efficient price would be higher than $30 while the efficient output would be greater than 220 units.
c. The efficient price would be lower than $30 while the efficient output would be less than 220 units.
d. The efficient price would be lower than $30 while the efficient output would be greater than 220 units.


B

Economics

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Economics