Suppose That a Certain Industry Produces a Product That Results

Suppose that a certain industry produces a product that results in negative external costs to society. This suggests that

A) resources are under-allocated to the industry.
B) the equilibrium market price of the product includes the external costs borne by society.
C) the costs borne by the firm are less than the true social costs of producing the good.
D) at the market price, quantity demanded is less than quantity supplied.