All categories

3 years ago

Externalities affect the economic efficiency of a market equilibrium by causing a difference between:________

Business

1 answer:

Cloud [144]3 years ago

5 0

Answer:

D. both a and b.

Explanation:

The marginal cost of production is the marginal private cost. When an individual or a firm spend extra cost for an extra unit of good or service, it is called marginal private cost. The marginal social cost of production is the cost that an entire society pays for the consumption of an extra unit of goods or services.

The extra benefit a consumer gets from the use of extra good is referred to as the marginal private benefit. When there is a change in benefit due to the extra unit of consumption, it is the marginal social benefit. It includes an extra benefit.

The economic efficiency of a market equilibrium deters the marginal private cost and benefit. Externalities affect that market equilibrium.

So, both a and b is the answer.

You might be interested in

Ritchie orders 1000 widgets from Cunningham Widget Co. The widgets are stored in Al's Warehouse. Under the contract, CWC is requ

Aleks [24]

Answer:

when CWC gives Richie a warehouse receipt for the widgets

Explanation:

3 0

3 years ago

On December 31, after making a concerted effort, management determines that it will not be able to collect the $1,200 owed to it

zvonat [6]

Answer:

See explanation section

Explanation:

To record the journal entry to write off the uncollectible account according to the direct write-off method, we have to use bad dad expanse instead of an allowance account.

December 31 Bad Debt Expense Debit $1,200

Account receivable - Acme, Inc. Credit $1,200

Note: As the company did not get the money from the Acme, Inc., They treated the expense as irrecoverable.

4 0

3 years ago

In today's business environment, companies have to find ways to remain profitable by coping with increased competition and rapid

eimsori [14]

Answer:

<u>Greater</u>

Explanation:

However, as the organizations come in different types of divisions of levels in organizations like the First middle and top level of management. thus the managers are classified as hierarchical structures, like a matrix of structure like the horizontal, vertical and diagonal.

When we eliminate the levels in the management the action usually results in the centralized structure of the organization functioning and hence it further leads to the attainment of greater control over the organization. As the elimination of the middle man and the elimination of various bottlenecks takes place.

7 0

3 years ago

After setting the pricing objective, the next step in Amy's price-setting process is to:_______. a) monitor the effectiveness of

lakkis [162]

Answer: Evaluate demand

After setting the pricing objective, the next step in Amy's price-setting process is to evaluate demand

Explanation:

4 0

3 years ago

Factory labor charges that cannot be easily traced to a job are treated as ______.

natulia [17]

Answer:

Manufacturing overhead

4 0

2 years ago