plus size true religion jeans Principles of Econom

The analysis of positive externalities is similar to the analysis of negative ex-
ternalities. Figure 10-3 shows the market for robots. In this case,youtube p90x workout, the social cost of
production is less than the private cost reflected in the supply curve. In particular,san jose sharks jerseys,
the social cost of producing a robot is the private cost less the value of the technol-
ogy spillover. Therefore,plus size true religion jeans, the social planner would choose to produce a larger quan-
tity of robots than the private market does.
In this case,Tampa Bay Lightning Jerseys, the government can internalize the externality by subsidizing the
production of robots. If the government paid firms a subsidy for each robot pro-