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Unformatted text preview: a) On your graph, what area represents the total positive externality? b) What area on your graph represents welfare? c) What area on your graph represents the additional welfare that could be generated if Nabisco produced one more cookie? d) If the next cookie is worth more than it costs to bake, why wont Nabisco bake it? 2. Do Chapter 10, problem 1. 3. Do Chapter 10, problem 3. 4. Do Chapter 10, problem 6....
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- Fall '06