Question

The marginal cost of production that is borne by the entire society is called the marginal A. public cost. B. private cost. C. external cost. D. social cost. E. user cost.

Answer 1

Answer:

D) social cost

Explanation:

Social costs are the total costs beared by the entire society. Social costs includes all the private production costs plus all the externalities.

Marginal social costs are the marginal costs beared by the entire society, and it includes all the private marginal production costs and the marginal costs of externalities.