Social efficiency requires that, if Q 1 units are bought and sold in a market, then the ____ of Q 1 equals the social marginal cost of Q 1. A. Pareto-efficiency B. social welfare C. social marginal benefit D. social net-gain

Social efficiency requires that, if Q 1 units are bought and sold in a market, then the ____ of Q 1 equals the social marginal cost of Q 1. A. Pareto-efficiency B. social welfare C. social marginal benefit D. social net-gain

Principles of Microeconomics

7th Edition

ISBN:9781305156050

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter22: Frontiers Of Microeconomics

Section: Chapter Questions

Problem 9PA

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Question

Social efficiency requires that, if Q ₁ units are bought and sold in a market, then the ____ of Q ₁ equals the social marginal cost of Q ₁.

	A.	Pareto-efficiency
	B.	social welfare
	C.	social marginal benefit
	D.	social net-gain

Definition Definition Total cost incurred by the producers of goods and services as well as anyone who is impacted by the production of the commodity in terms of external cost.

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