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Tidy Tidy
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9 years ago
If there are no externalities a competitive market achieves economic efficiency. If there is a negative externality, economic efficiency will not be achieved because
A) too little of the good will be produced.
B) too much of the good will be produced.
C) a deadweight loss will occur that is equal to the area under the demand curve for the good.
D) economic surplus is maximized.
Textbook 
Essentials of Economics

Essentials of Economics


Edition: 4th
Authors:
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Repeat after me: 'Calm down. Things are gonna be fine. Things are gonna be all great. Just relax.' Wink Face
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VincenzoDVincenzoD
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