If a benevolent social planner chooses to produce more than the equilibrium quantity of a good, then ?

Question

TuteeHUB · Accepted Answer

consumer surplus is maximized

TuteeHUB · Answer

the value placed on the last unit of production by buyers exceeds the cost of production

TuteeHUB · Answer

the cost of production on the last unit produced exceeds the value placed on it by buyers.

TuteeHUB · Answer

total surplus is maximized

TuteeHUB · Answer

producer surplus is maximized

1.	If a benevolent social planner chooses to produce more than the equilibrium quantity of a good, then ?
A.	the value placed on the last unit of production by buyers exceeds the cost of production
B.	the cost of production on the last unit produced exceeds the value placed on it by buyers.
C.	consumer surplus is maximized
D.	total surplus is maximized
E.	producer surplus is maximized
Answer» C. consumer surplus is maximized

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