A rain barrel is a container that captures and stores rainwater for landscape and garden use during dry periods. As a result, rain barrels benefit the community through water conservation. If homeowners do not consider this external benefit of rain barrels, then a. the socially optimal quantity of rain barrels will be larger than the equilibrium quantity of rain barrels. b. the socially optimal quantity of rain barrels will be smaller than the equilibrium quantity of rain barrels. c. the socially optimal price of rain barrels will be lower than the equilibrium price of rain barrels. d. the market for rain barrels would benefit from a tax on rain barrels.

A. The socially optimal quantity of rain barrels will be larger than the equilibrium quantity of rain barrels.

Explanation:

Rain barrels capture water from a roof and hold it for later use such as on lawns, gardens or indoor plants. Collecting roof runoff in rain barrels reduces the amount of water that flows from your property. It's a great way to conserve water and it's free water for use in your landscape. The rain has it's own benefits which can be seen as follows;

1. Save Money. Reduce your water bill with a rain barrel's water catch. ...

2. Reduce Runoff Pollution & Erosion. Runoff from rains pick up soil, oil, pesticides, fertilizers and push them to other areas. ...

3. Promote Plant & Soil Health. ...

4. Conserve Water. ...

5.Wash Cars & Windows.