When social costs of an activity exceed private costs
A. this means that resources are being efficiently used.
B. a market failure exists.
C. the actual price is above the efficient price.
D. there is a tendency for resources to be under-utilized.
Answer: B
Economics
You might also like to view...
A rent ceiling set above the equilibrium rent has no effect
Indicate whether the statement is true or false
Economics
Discuss how taxes affect product and input markets
What will be an ideal response?
Economics
Which of the following is a tax on consumption?
a. A comprehensive general sales tax. b. A comprehensive value-added tax c. An income tax in a world without saving. d. All of the above. e. a and b
Economics
Unrestrained monopolies are criticized because they restrict output and reduce innovation.
Answer the following statement true (T) or false (F)
Economics