When a Negative Externality Exists in a Market, the Cost

question 170

Multiple Choice

When a negative externality exists in a market, the cost to producers

• A)is greater than the cost to society.
• B)will be the same as the cost to society.
• C)will be less than the cost to society.
• D)will differ from the cost to society, regardless of whether an externality is present.

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Definitions:

Self-esteem

An individual's sense of their own value and worth.

Belief

The acceptance that something exists or is true, especially without proof.

Worth

The value or importance of something, often in terms of monetary, social, or personal significance.

Nature

The inherent qualities or characteristics of something; can also refer to the physical world and its organisms, landscapes, and processes not made by human beings.