Question: Problem 2: This question builds on the video Positive Consumption Externality Solution related to planting trees. Given the following information (which is identical to the

Problem 2: This question builds on the video "Positive Consumption Externality Solution" related to planting trees. Given the following information (which is identical to the scenario in the video), Demand: Q = 10,000-2P Supply: Q = -2000 + 6P Marginal External Benefit: MEB = 0.10 (a) Graphically show the private market quantity and the socially optimal quantity. Fully label the graph and draw all relevant curves. (b) Now suppose that the government implements a $500 subsidy. Draw the "PMB + subsidy" curve and calculate the quantity attained with this $500 subsidy. (c) Is this $500 subsidy a "Pigouvian" subsidy? Why or why not

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2. To understand that as a general rule it takes about 3 minutes before the other part(s) have made up a 90% impression of you.