When There Is a Negative Externality, the Private Cost of Production

question 116

Multiple Choice

When there is a negative externality, the private cost of production ________ the social cost of production.

• A) is greater than
• B) is equal to
• C) eliminates
• D) is less than

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Definitions:

Sincere Apology

An expression of regret that is genuine and intended to make amends for a mistake or wrong.

Neutral Buffer

A neutral buffer acts as an introductory statement in communication, often used to ease into a sensitive subject without causing immediate offense or defense.

Indirect Approach

A communication technique in which the main point or message is not presented immediately but introduced gradually in the context.

Decision Ordering

The arrangement or sequencing of decisions based on their priority, complexity, or impact, often used in problem-solving and strategic planning.