What Is Difficult About Using Cost-Benefit Analysis to Estimate the Level

Multiple Choice

What is difficult about using cost-benefit analysis to estimate the level of a public good that will maximize social welfare?

A) The government cannot use cost-benefit analysis to estimate this.
B) It is difficult to estimate the marginal costs of supplying a public good.
C) It is difficult to estimate the marginal social benefits of supplying a public good.
D) The costs of using it may make the provision of the public good prohibitive.