tfornwalt6716 tfornwalt6716
  • 17-03-2020
  • Business
contestada

Suppose that flu shots create a positive externality equal to $8 per shot. Further suppose that the government offers a $6-per-shot subsidy to producers. What is the relationship between the equilibrium quantity and the socially optimal quantity of flu shots produced?

Respuesta :

lazicah
lazicah lazicah
  • 19-03-2020

Answer:

The equilibrium quantity is less than the socially optimal quantity.

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