Which of the following statements best defines private costs?
A) They are internal in the sense that the firm or household must explicitly take them into account.
B) They are costs borne by people other than those who commit the action.
C) They are synonymous with social costs.
D) They represent explicit costs incurred by business firms in the private sector.
Correct Answer:
Verified
Q2: Social costs are
A) private costs plus any
Q3: An externality that is not fully paid
Q4: Private costs are the same as
A) implicit
Q4: There is "too much" steel production if
Q7: Costs that are borne solely by the
Q8: An individual who pays for personal auto
Q9: Social costs are
A) costs borne by society
Q9: When the costs of an action are
Q10: Where pollution is concerned, if an automobile
Q16: To find the social cost of an
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