Alex, Kara, and Susie are the only three people in a community and Alex is willing to pay $20 for the fifth unit of a public good; Kara, $15; and Susie, $25. Government should produce the fifth unit of the public good if the marginal cost is less than or
equal to:
A. $25.
B. $15.
C. $60.
D. $300.
Answer: C
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