A Marginal External Cost of a Product Is Equal to

question 53

Multiple Choice

A marginal external cost of a product is equal to

• A) what the producer has to pay to hire resources to produce another unit.
• B) the cost someone other than the producer incurs when another unit is produced.
• C) the cost the producer incurs to produce another unit.
• D) what the consumer must pay when he or she buys the good or service.
• E) None of these answers describes a marginal external cost.

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A form of leadership in which authority is legitimized by legal rules and regulations that are formally established.

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