Question :
11) When producers hard to monitor and property rights too : 1241079
11) When producers are hard to monitor and property rights are too costly, ________ is (are) an effective method to achieve efficient use of a(n) ________.
A) individual transfer quotas; public good
B) making a government payment equal to the marginal private benefits; public good
C) individual transferable quotas; common resource
D) individual transferable quotas; excludable good
E) making a government payment equal to the marginal private costs; common resource
Tons of fish
Marginal social benefit
(dollars per hour)
100
700
200
600
300
500
400
400
500
300
600
200
12) The table above shows the marginal social benefit of fishing in Mediterranean Sea. The marginal private cost of operating a fishing boat is the same for all producers, $300 per hour. The marginal social cost is twice the marginal private cost. With no government intervention, the equilibrium quantity of fish caught is ________ tons.
A) 100
B) 200
C) 300
D) 400
E) 500
13) The table above shows the marginal social benefit of fishing in Mediterranean Sea. The marginal private cost of operating a fishing boat is the same for all producers, $300 per hour. The marginal social cost is twice the marginal private cost. The efficient quantity of fish caught is ________ tons.
A) 100
B) 200
C) 300
D) 400
E) 500
14) The table above shows the marginal social benefit of fishing in Mediterranean Sea. The marginal private cost of operating a fishing boat is the same for all producers, $300 per hour. The marginal social cost is twice the marginal private cost. With no government intervention, the market is
A) catching the efficient quantity of fish.
B) underproducing by 100 tons of fish.
C) underproducing by 300 tons of fish.
D) overproducing by 300 tons of fish.
E) overproducing by 200 tons of fish.
15) The table above shows the marginal social benefit of fishing in Mediterranean Sea. The marginal private cost of operating a fishing boat is the same for all producers, $300 per hour. The marginal social cost is twice the marginal private cost. If the government sets a production quota, to have the efficient quantity of fish caught, the quote should equal ________ tons of fish.
A) 100
B) 200
C) 300
D) 400
E) 500
16) The table above shows the marginal social benefit of fishing in Mediterranean Sea. The marginal private cost of operating a fishing boat is the same for all producers, $300 per hour. The marginal social cost is twice the marginal private cost. If the government sets a production quota, the profit on the last ton of fish caught is ________ per ton.
A) $0
B) $100
C) $200
D) $300
E) $400
17) The table above shows the marginal social benefit of fishing in Mediterranean Sea. The marginal private cost of operating a fishing boat is the same for all producers, $300 per hour. The marginal social cost is twice the marginal private cost. If the government uses individual transferrable quotas to achieve the efficient outcome, what is the total quantity of fish caught?
A) 0 tons
B) 100 tons
C) 200 tons
D) 300 tons
E) 500 tons
18) The above figure shows the marginal private cost curve, marginal social cost curve, and marginal social benefit curve for cod, a common resource. The efficient outcome is ________.
A) 0 tons per week
B) 300 tons per week
C) 400 tons per week
D) None of the above answers is correct.
19) The above figure shows the marginal private cost curve, marginal social cost curve, and marginal social benefit curve for cod, a common resource. The market equilibrium with no government intervention is ________.
A) 0 tons per week
B) 200 tons per week
C) 400 tons per week
D) 500 tons per week
E) None of the above answers is correct.
20) The above figure shows the marginal private cost curve, marginal social cost curve, and marginal social benefit curve for cod, a common resource. The efficient outcome is ________.
A) 0 tons per week
B) 200 tons per week
C) 300 tons per week
D) 400 tons per week
E) 500 tons per week
21) The above figure shows the marginal private cost curve, marginal social cost curve, and marginal social benefit curve for cod, a common resource. A quota to prevent the overuse of the cod sets the catch equal to ________.
A) 0 tons per week
B) 200 tons per week
C) 400 tons per week
D) 300 tons per week
E) 500 tons per week
