The presence of a positive externality in a market leads to ...

[Ebrown]

The presence of a positive externality in a market leads to ________.
 
  A) an underproduction of the good
  B) an overproduction of the good
  C) a deadweight loss
  D) a fall in the consumer surplus

Question 2

Negative values of the price elasticity of demand of a good can be attributed to:
 
  A) the Law of Demand.
  B) the Law of Supply.
  C) the Law of Increasing Marginal Utility.
  D) the Law of Diminishing Marginal Rate of Substitution.

[orangecrush]

Answer to Question 1

A

Answer to Question 2

A

[Ebrown]

Wow, this really help

[tuate]

Thanks for the timely response, appreciate it