Question: The market equilibrium quantity is 3 . 5 q , units of electricity, but the socially optimal quantity of electricity production is q , units.

The market equilibrium quantity is 3.5q, units of electricity, but the socially optimal quantity of electricity production is q, units.
To create an incentive for the firm to produce the socially optimal quantity of electricity, the government could impose a of per unit of electricity.
The market equilibrium quantity is 3.5q, units of electricity, but the

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