The Cost of Producing an Additional Unit of a Good

question 60

Multiple Choice

The cost of producing an additional unit of a good or service that falls on people other than the producer is the marginal

• A) external cost.
• B) private cost.
• C) social cost.
• D) social benefit.
• E) None of the above answers is correct.

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Definitions:

Supply Curve

A visual depiction displaying the connection between a product's price and the amount of the product that suppliers are prepared to offer.

Electric And Hybrid Autos

Vehicles powered by electric motors, either entirely (electric) or combined with a conventional internal combustion engine (hybrid).

Supply Curve

A graphical representation showing the relationship between the price of a good and the quantity supplied by producers.

Quantity Supplied

The amount of a good or service that producers are willing and able to sell at a given price over a specified period.