An externality occurs whenever
A) private costs are the same as social costs.
B) private costs are the same as internal costs.
C) private costs diverge from social costs.
D) private costs plus internal costs equal social costs.
Answer: C
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The three broad reasons for saving, as identified by economists, relate to:
A. the life-cycle, precaution, and bequests. B. national, public, and private production. C. capital gains, capital losses, and deficits. D. consumption, investment, and exports.
Social costs are:
A. private costs plus external costs. B. network costs minus private costs. C. external costs minus private costs. D. those costs imposed without compensation on someone other than the person who caused them.
According to the World Bank, developing countries greatly outnumber industrial countries
a. True b. False Indicate whether the statement is true or false
The stable, long-run equilibrium in a competitive market occurs when the market price equals the lowest point on a firm's average total cost curve
a. True b. False Indicate whether the statement is true or false