If a production process created pollution, then the social cost curve would be:

A. below the market supply curve.
B. the same as the original market supply curve.
C. zero.
D. above the market supply curve.


Answer: D

Economics

You might also like to view...

Based on the figure below. Starting from long-run equilibrium at point C, a decrease in government spending that decreases aggregate demand from AD1 to AD will lead to a short-run equilibrium at__ creating _____gap.

A. B; no output B. D; an expansionary C. B; recessionary D. D; a recessionary

Economics

Borrowing to fund investment projects until the marginal rate of return falls to ________ is optimizing investment strategy for ________

A) the borrowing rate, businesses and governments B) the borrowing rate, businesses but not governments C) the borrowing rate, governments but not businesses D) zero, businesses and governments E) zero, governments but not businesses

Economics

What was the overall trend of U.S. union membership beginning the 1960s? What was the main reason behind that trend?

What will be an ideal response?

Economics

What is the cost of production at the number of units where the company is indifferent between the two technologies?

a. $750 b. $850 c. $950 d. $1050

Economics