Which of these statements is not true of both external cost and external benefit situations?
A)They both can lead to market failure.
B)They both cause welfare costs.
C)They both make it possible for government intervention to lead to more efficient results.
D)All of the above are true.

Question

Which of these statements is not true of both external cost and external benefit situations?
A)​They both can lead to market failure.
B)​They both cause welfare costs.
C)​They both make it possible for government intervention to lead to more efficient results.
D)​All of the above are true.

Quizplus · Accepted Answer

All the statements are true for both external cost and external benefit situations, indicating that they can lead to market failure, cause welfare costs, and make government intervention potentially more efficient.

Which of These Statements Is Not True of Both External