Which of the Following Statements About Private and Social Costs

question 71

Multiple Choice

Which of the following statements about private and social costs associated with a negative externality is TRUE?

• A)Social costs include externalities.
• B)Private cost do not include externalities.
• C)Social costs are never smaller than private costs.
• D)All of the above.

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Definitions:

Representative Sample

A smaller group taken from a larger population that accurately represents the characteristics of the whole population.

National Election

The process by which citizens of a country vote to choose representatives or leaders at a national level.

Causes

The reasons or factors that bring about an effect or a result.

Effects

Effects refer to the outcomes or results generated by a cause or influence, which can manifest in various aspects such as physical health, psychological states, or environmental conditions.