Marginal social benefit

Related BrainMass Solutions

• Externalities: A summary

  The marginal private cost curve intersects the marginal private benefit curve to the right of where the marginal social cost curve intersects the marginal social benefit curve.

• Externalities - Positive and Negative

  Externality - Positive Marginal Social Benefit - Greater Marginal Social Cost - Greater Too Little c.

• Marginal External Costs

  b) the marginal social benefit will exceed the marginal private benefit received by any consumer. c) in equilibrium the marginal social cost of smoke detectors will equal the marginal social benefit.

• Externalities

  In this case, since there are no "positive externalities", Marginal Social Benefit is identical to Marginal Private Benefit.

• marginal benefit curves

  In the absence of any externality , marginal social cost(MSC) = marginal private cost (MPC) and marginal social benefit(MSB) = marginal private benefit(MPB).

• Perfect competition

  Lastly, when does marginal social benefit equal marginal social cost and why?

• Multiple Choice

  If a positive externality is associated with the purchase of smoke detectors: The marginal social benefit of smoke detectors exceeds their price The marginal social benefit of smoke detectors is zero The marginal social benefit of

• Externalities

  the private benefit of production d. the marginal social benefit of production equals the marginal social cost of production 9.

• Education is an example of a positive externality

  Assume that the marginal social cost is the same as the marginal cost paid by an individual student a. Find Sian's market equilibrium number of years of education. b. Calculate the marginal social benefit schedule.

• Economic Policy

  c) cost of information exceeds the marginal benefit. d) benefit of information exceeds the marginal cost. 3.