Table 10-1 Quantity Private Value Private Cost External Cost (Units) (Dollars) (Dollars) (Dollars) 1 14 10 2 2 13 11 2 3 12 12 2 4 11 13 2 5 10 14 2 6 9 15 2 7 8 16 2 Refer to Table 10-1. How large would a corrective tax need to be to move this market from the equilibrium outcome to the socially optimal outcome? ○ $2

Table 10-1 Quantity Private Value Private Cost External Cost (Units) (Dollars) (Dollars) (Dollars) 1 14 10 2 2 13 11 2 3 12 12 2 4 11 13 2 5 10 14 2 6 9 15 2 7 8 16 2 Refer to Table 10-1. How large would a corrective tax need to be to move this market from the equilibrium outcome to the socially optimal outcome? ○ $2

Essentials of Economics (MindTap Course List)

8th Edition

ISBN:9781337091992

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter10: Externalities

Section: Chapter Questions

Problem 2CQQ

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Similar questions

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