A Negative Externality Exists If

question 134

Multiple Choice

A negative externality exists if

• A)there are price controls in a market.
• B)there are quantity controls in a market.
• C)the marginal social cost of producing a good or service exceeds the private cost.
• D)the marginal private cost of producing a good or service exceeds the social cost.

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Definitions:

Percent Equivalent

A way of expressing a number as a fraction of 100, denoting it with the symbol "%."

Significant Figures

The numbers of digits in a value that contribute to its precision, including all digits except leading and trailing zeros.

Accurate

Without inaccuracies or flaws; exact.

Repeating Decimal

A decimal fraction in which a sequence of digits repeats indefinitely.