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    Foundations of Macroeconomics
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    Exam 10: Externalities
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    Which of the Following Is True
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Which of the Following Is True

Question 161

Question 161

Multiple Choice

Which of the following is true?


A) MSB = MB + Marginal external benefit
B) MB = Marginal external benefit - MSB
C) MB = Marginal external benefit + MSC
D) MSB = Marginal external cost - marginal external benefit
E) MSB = MB + Marginal external benefit - Marginal external cost

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