Refer to the graph shown. If the marginal cost external to the trade associated with the use of gasoline is $ 1 0 per gallon, the point on the graph corresponding to the efficient quantity and price is: Multiple Choice H Price in dollars $1.10 $1.05 $1.00 $0.95 H K 2 4 68 10 Gasoline (millions of gallons per year) MC + $.10 MC = marginal private cost MB = MSB

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Chapter1: Making Economics Decisions
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This question 2 nd time upload but answer is not proper way so pls give me answer properly..... Please provide steps by step answer with proper Calculation and explanation with final answer...........
Refer to the graph shown. If the marginal cost
external to the trade associated with the use of
gasoline is $
1
0
per gallon, the point on the graph corresponding to
the efficient quantity and price is:
Multiple Choice
H
Transcribed Image Text:Refer to the graph shown. If the marginal cost external to the trade associated with the use of gasoline is $ 1 0 per gallon, the point on the graph corresponding to the efficient quantity and price is: Multiple Choice H
Price in dollars
$1.10
$1.05
$1.00
$0.95
H
K
2
4 68
10
Gasoline
(millions of gallons per year)
MC + $.10
MC = marginal
private cost
MB = MSB
Transcribed Image Text:Price in dollars $1.10 $1.05 $1.00 $0.95 H K 2 4 68 10 Gasoline (millions of gallons per year) MC + $.10 MC = marginal private cost MB = MSB
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