Instructional Video

Khan Academy: Socially Efficient and Inefficient Outcomes

Curated by ACT

If all costs and benefits are captured by the supply and demand curves, then the market outcome is a quantity where marginal social costs equals marginal social benefit. But what if they don't? In this video, see how markets might produce an inefficient quantity.

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Classroom Considerations
  • Knovation Readability Score: 3 (1 low difficulty, 5 high difficulty)
  • The intended use for this resource is Instructional