What are external costs?
A)The costs involved in exporting products abroad.
B)The costs that are suffered by outside workers.
C)The costs that are suffered by people other than the producers or consumers of a product.
D)The costs that are imposed on plants which are located abroad.

Question

Quizplus · Accepted Answer

External costs are the costs associated with a transaction that are not borne by the producers or consumers of a product but are instead imposed on people not directly involved in the transaction, such as the general public or the environment. Examples include pollution and congestion caused by transportation, health problems caused by exposure to harmful substances, and damage to natural resources.

What Are External Costs