Consumption of a common resource is inefficiently too _____ because the marginal social cost of the resource is _____ than the private marginal cost.
A)low;higher
B)low;less
C)high;higher
D)high;less

Question

Quizplus · Accepted Answer

Consumption of a common resource is inefficiently too high because the marginal social cost is higher than the private marginal cost, leading to overconsumption.

Consumption of a Common Resource Is Inefficiently Too _____ Because