Multiple Choice
If a product has zero external costs, then
A) marginal social cost equals zero.
B) marginal social cost is less than marginal private cost.
C) marginal social cost equals marginal private cost.
D) marginal social cost is greater than marginal private cost.
E) We need more information to determine the relationship between marginal private cost and marginal social cost.
Correct Answer:

Verified
Correct Answer:
Verified
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