Figure 15-1
Figure 15-1 portrays conditions in the monopolized weezil industry. From the diagram, the production of weezils
A. must cause a detrimental externality.
B. must cause a beneficial externality.
C. must cause either a detrimental or a beneficial externality, more information is needed to determine which one.
D. may or may not cause an externality.
Answer: A
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