The Social Cost of Cutting Trees for Firewood in a Government

question 63

Multiple Choice

The social cost of cutting trees for firewood in a government forest is

• A)the increased likelihood of flooding as more trees are cut.
• B)the increased likelihood of flooding as more trees are cut plus the private cost of cutting the trees.
• C)opportunity cost to the individual of cutting the wood.
• D)the marginal costs of cutting the last tree.