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Question 17-21 refer to the following graph   Suppose the consumer has an income of $24, the price of pizza is $2, and the price of soda is $2. The opportunity cost of one more slice of pizza is  

In which case can the government improve outcomes?

The fact that the public sidewalks are dirty while private yards are clean is an example of

Question 17-21 refer to the following graph   Under the prices and income from question 18, the optimal consumption bundle is  

Suppose you observe the price and quantity demanded of a good at two dates. There is a large percentage change in price but only a small percentage change in quantity. Which is the most likely price elasticity of demand?

Question 17-21 refer to the following graph   Suppose the price of pizza decreases to $1. The quantity demanded of pizza increases by how many units?  

Question 5-8 related to the oil market. Let PO be the price of oil and QO be the quantity transacted of oil. Determine which happened to PO  and QO in the following situations. Both the subsidy and earthquake from the previous example both happen.

Costs or benefits that fall on bystanders, not consumers or producers trading in the market are known as:

What does “internalizing an externality” mean?

An example of a private good would be: