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AP Microeconomics
Unit 6 – Market Failure and the Role of Government
Topic 6.2
Unit 6 – Market Failure and the Role of Government
6.2 Externalities 😵☢️💩
mixed difficulty
In a negative externality, the socially optimal quantity occurs when?
Marginal social benefit (MSB) equals marginal private cost (MPC).
Marginal private benefit (MPB) equals marginal social cost (MSC).
Marginal social benefit (MSB) equals marginal social cost (MSC).
Marginal private benefit (MPB) equals marginal private cost (MPC).
Study guides (1)
AP Microeconomics - 6.2 Externalities
Key terms
Negative Externality
Socially Optimal Quantity
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