Which one of the following variables is most likely to decline as production effort increases?

Your neighbor has just planted some fragrant flowers. The wonderful scent drifts into your room and makes you happy

A) This scent is an internal cost to you. B) This cannot be an externality since you are enjoying the scent. C) This is an externality since you get a benefit from your neighbor's flowers. D) The social cost of this activity is entirely borne by you neighbor.

The cost of a hospital stay has been going down slowly

a. True b. False Indicate whether the statement is true or false