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Scenario: Alexander and Vanessa
Alexander and Vanessa benefit from scientific research. Alexander's marginal private benefit from such research is given by the equation P = 200 - Q, where Q refers to the amount of research undertaken and P is the price Alexander is willing to pay for such research. Vanessa's marginal private benefit from such research is given by the equation P = 100 - Q. The marginal social cost of engaging in such research is constant at $100.
-(Scenario: Alexander and Vanessa) Given the information in the scenario Alexander and Vanessa, what is the socially optimal amount of scientific research for this economy?
A) 60
B) 300
C) 100
D) 200

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The Answer of Use the following to answer questions:
Scenario: Alexander and Vanessa
Alexander and Vanessa benefit from scientific research. Alexander's marginal private benefit from such research is given by the equation P = 200 - Q, where Q refers to the amount of research undertaken and P is the price Alexander is willing to pay for such research. Vanessa's marginal private benefit from such research is given by the equation P = 100 - Q. The marginal social cost of engaging in such research is constant at $100.
-(Scenario: Alexander and Vanessa) Given the information in the scenario Alexander and Vanessa, what is the socially optimal amount of scientific research for this economy?
A) 60
B) 300
C) 100
D) 200

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