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Tidy Tidy
wrote...
Posts: 4852
9 years ago
When there is an externality in a market
A) the externality will move the market to an economically efficient equilibrium.
B) the externality will cause the market price to be less than or greater than the equilibrium price.
C) the government should use price controls to enable the market to reach equilibrium.
D) government intervention may increase economic efficiency.
Textbook 
Essentials of Economics

Essentials of Economics


Edition: 4th
Authors:
Read 141 times
1 Reply
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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Top Poster
Posts: 1913
9 years ago
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