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Kazeer [188]
3 years ago
8

Costs of production that affect people who have no control over how much of a good is produced

Business
1 answer:
katovenus [111]3 years ago
5 0
SPILLOVER COSTS are costs of production that affect people who have no control over how much of a good is produced. 

Spillover cost is also known as "negative externalities". This happens when costs of production are not fully reflected on market demand or supply schedules that may result to a loss or damage on a third party involved in a market transaction.
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