Referring to the figure above, what do you know about the first line of each paragraph?
Definitions:
Marginal External Cost
The cost of producing one additional unit of a good or service that is borne by someone other than the producer or consumer, such as environmental pollution.
Marginal Social Cost
The total cost to society of producing one additional unit of a good, including both private costs and externalities.
Equilibrium Price
The price at which the quantity of a product offered for sale equals the quantity of that product in demand.
Air Cargo
Goods being transported by aircraft, often for commercial purposes or rapid delivery.
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