Assuming No Externalities Exist, If a Good's Price Is Less

Multiple Choice

Assuming no externalities exist, if a good's price is less than its marginal cost, then the benefits consumers derive are

A) greater than the cost of resources needed to produce it and less should be produced.
B) greater than the cost of resources needed to produce it and more should be produced.
C) less than the cost of resources needed to produce it and less should be produced.
D) less than the cost of resources needed to produce it and more should be produced.