Which of the Following Creates an Incentive to Increase the Amount

Multiple Choice

Which of the following creates an incentive to increase the amount of an activity?

A) an increase in the marginal cost of the activity and a decrease in the marginal benefit from the activity
B) a decrease in the marginal cost of the activity and an increase in the marginal benefit from the activity
C) constant marginal cost and constant marginal benefit from the activity
D) an increase in the marginal cost of the activity and an equal increase in the marginal benefit from the activity
E) a decrease in the marginal cost of the activity and an equal decrease in the marginal benefit from the activity