If a Good Has Zero External Costs, Then

question 145

Multiple Choice

If a good has zero external costs, then

• A) marginal social cost equal marginal private cost.
• B) marginal social cost is greater than marginal private cost.
• C) marginal social cost is less than marginal private cost.
• D) we need more information to determine the relationship between private and social costs.

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Definitions:

Pastoralists

People or societies who raise livestock as their primary means of livelihood.

Kuchi

A traditionally nomadic group of people in Afghanistan, known for their seasonal migrations with herds of livestock.

Afghanistan

A landlocked country located in South and Central Asia, known for its rich history and diverse cultural heritage.

Cultural Adaptation

The process by which individuals or groups adjust to new cultural environments, integrating new cultural practices and norms while retaining aspects of their original culture.