Question: Question 2 1 Suppose that electricity producers create a negative externality equal to ( $ 6 ) per unit. Further suppose that

Question 21
Suppose that electricity producers create a negative externality equal to \(\$ 6\) per unit. Further suppose that the government imposes a \(\$ 8\) per-unit tax on the producers. What is the relationship between the after-tax equilibrium quantity and the socially optimal quantity of electricity to be produced?There is not enough information to answer the question.The after-tax equilibrium quantity is less than the socially optimal quantity.They are equal.The after-tax equilibrium quantity is greater than the socially optimal quantity.
Question 2 1 Suppose that electricity producers

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