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If a Steel Manufacturer Considers the Costs of Labor and Materials

Question 98

Multiple Choice

If a steel manufacturer considers the costs of labor and materials, as well as the broader costs of environmental injuries resulting from its manufacturing processes,


A) its supply curve will be based on perceived benefits of maximizing utility.
B) it is factoring in the social costs of the pollution it generates.
C) its demand curve will be based on production choices relating to marginal costs.
D) its costs will be the same as society's costs and all of the above.

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