Graph 10-3 This Graph Reflects the Market for Kiwifruit

Multiple Choice

Graph 10-3 This graph reflects the market for kiwifruit, where pesticide used by kiwifruit orchardists also unintentionally kills honey bees.
-Refer to Graph 10-3.The difference between the social cost curve and the supply curve reflects the:

A) profit margin of each kiwifruit tray
B) cost of spillover effects from the kiwifruit orchards (replacing bees, lost honey output)
C) value of kiwifruit to society as a whole
D) amount by which the government should subsidise the kiwifruit orchardists