If you do not have to take into consideration the negative impact of external is happening at third. The quantity will be greater than expected, or the most Overproduced corresponds to P competitive than socially efficient quantity P point, therefore, is one way to reduce the production to the appropriate level. When combined with the negative external markets show marginal social cost curve from this point the market has impact occurred at the third parties. At that point, the slope of MSB is equal to the MSC is market efficient at price social optimum and quantity social optimum.
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