Figure 5-C
-Refer to Figure 5-C.If the suppliers of steel are not aware of or not responsible for the external costs, they will tend to:
A)apply new technology to reduce external costs.
B)produce too much.
C)produce too little.
D)reduce production to Q2.

Question

Figure 5-C 
-Refer to Figure 5-C.If the suppliers of steel are not aware of or not responsible for the external costs, they will tend to:
A)apply new technology to reduce external costs. 
B)produce too much. 
C)produce too little. 
D)reduce production to Q2.

Quizplus · Accepted Answer

If the suppliers of steel are not aware of or not responsible for the external costs, they will tend to produce too much because they are not factoring in the negative effects that their production has on the environment and society. This overproduction can lead to a variety of problems including pollution and resource depletion.

Figure 5-C -Refer to Figure 5-C.If the Suppliers of Steel Are Not