Multiple Choice
09-05 Explain how governments try to encourage production of goods and services;such as education;that carry external benefits.
09-18 Providing Subsidies
The following graph refers to a province's day care market which is in equilibrium:

-Refer to the above graph to answer this question.In an effort to increase the number of daycare spaces,suppose the authorities give daycare operators a subsidy of $150 for each child registered.What will be the new equilibrium quantity?
A) 5,000.
B) 6,000.
C) 7,000.
D) 8,000.
E) 9,000.
Correct Answer:

Verified
Correct Answer:
Verified
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