3031EconomicsMedium
A positive externality generates?
Aa social cost curve that is above the supply curve (private cost curve) for a good
Bnone of these answers
Ca social value curve that is below the demand curve (private value curve) for a good
Da social value curve that is above the demand curve (private value curve) for good
Correct answer
D. a social value curve that is above the demand curve (private value curve) for good
Explanation
The correct answer is a social value curve that is above the demand curve (private value curve) for good.