Microeconomics: Principles, Problems, & Policies, 20th Edition

Published by McGraw-Hill Education
ISBN 10: 0077660811
ISBN 13: 978-0-07766-081-9

Chapter 19 - Antitrust Policy and Regulation - Discussion Questions - Page 444: 12


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Work Step by Step

This has to do with marginal revenue and marginal costs. While it may be possible to produce a car with no chance of fatalities, this would have a high marginal cost, but it would not be worth enough to consumers that the price would increase by the amount that it would cost.
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