Although for Smokers the Marginal Benefit from Smoking May Exceed

Multiple Choice

Although for smokers the marginal benefit from smoking may exceed the marginal cost of smoking, the negative effects of second-hand smoke may increase the marginal costs of smoking to society to a point where it exceeds that marginal benefit to society. This is an example of:

A) individual actions whose side effects are not properly taken into account by the market.
B) one party preventing mutually beneficial trades in an attempt to capture a greater share of resources for itself.
C) some goods' unsuitability for efficient management by markets.
D) regulating self-interest.