Below is the the market demand curve for yard leaf cleaning when only the marginal private benefits (MPB) that the homeowners receive from the clean yard are taken into account. If the government provides a subsidy to yard cleaning companies, equal to $10 per yard, the demand curve will shift and become the same as the marginal social benefit curve (MSB). Move the demand curve to illustrate that. Provide your answer below:
Below is the the market demand curve for yard leaf cleaning when only the marginal private benefits (MPB) that the homeowners receive from the clean yard are taken into account. If the government provides a subsidy to yard cleaning companies, equal to $10 per yard, the demand curve will shift and become the same as the marginal social benefit curve (MSB). Move the demand curve to illustrate that. Provide your answer below:
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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