When a product benefits people other than the buyer of the product, the product is said to have
A) an external cost.
B) an excludable cost.
C) an external benefit.
D) an excludable benefit.
E) a subsidized benefit.
C
Economics
You might also like to view...
Consider a firm with the following cost and revenue information: ATC = $8, AVC = $7, and MR = MC = $6 . If the firm produces Q = 60 in the short run, it:
a. is minimizing losses. b. makes a total loss of $60. c. should produce more output. d. is making a mistake and should shut down. e. is maximizing total profit.
Economics
An example of an ongoing expense for a toy company would be buying:
A. a delivery truck, and would be included in total cost. B. a new factory, and would be excluded from total cost. C. advertising for their products, and would be included in total cost. D. None of these is true.
Economics