Under a system of laissez-faire, output selection is determined by consumers’ wants.

Which of the following is NOT an example of a good with an external cost?

A) electricity generation producing carbon dioxide emissions that contribute toward global warming B) logging that pollutes a nearby river C) Jess smoking near her non-smoking roommate D) Ahmed working at a bank and getting a flu shot each fall E) noise pollution from aircraft

The market demand curve for a perfectly competitive industry is the horizontal summation of each individual firm's demand curve

Indicate whether the statement is true or false