If the marginal social benefit of ice cream curve shifts rightward because people now like ice cream better than before, the marginal social cost curve of ice cream will shift leftward.

Question

Quizplus · Accepted Answer

The marginal social cost curve is not directly affected by changes in consumer preferences; it is determined by the costs of production and externalities, not by shifts in demand.

If the Marginal Social Benefit of Ice Cream Curve Shifts