A Negative Externality or External Cost Occurs When

question 63

Multiple Choice

A negative externality or external cost occurs when:

• A)firms fail to achieve allocative efficiency.
• B)firms fail to achieve productive efficiency.
• C)price exceeds marginal cost.
• D)the total cost of producing a good exceeds the costs borne by the producer.

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Definitions:

Emerging Adulthood

A phase of the life span between adolescence and full-fledged adulthood which encompasses late teenage years into the twenties.

Personal Problems

Issues or difficulties that are personal in nature, affecting an individual's mental or emotional state.

Vocational Identity

The aspect of an individual's identity relating to their career or occupational direction and sense of self in the working world.

Gender Identity

A person’s self-perception as male, female, both, or neither.