When the Social Costs of Using a Resource Exceed the Private

question 38

Multiple Choice

When the social costs of using a resource exceed the private costs

• A) that resource is underutilized.
• B) use of that resource becomes unprofitable.
• C) the price of that resource is bid up.
• D) an external diseconomy exists.
• E) there is a shift in the production possibilities curve.

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Definitions:

Social Skills

interpersonal behaviors that are necessary for effective and appropriate communication and interaction with others in various social settings.

Ambivalent

Having mixed feelings or contradictory ideas about something or someone.

Authoritative

Describes a leadership or parenting style that is firm, fair, and respects the opinions and needs of others.

Authoritarian

A style of leadership or governance characterized by strict obedience to authority, often at the expense of personal freedom.