What do we mean by "marginal social cost"? How does it differ from marginal cost?

Q: Explain why many argue the use of “market” prices will NOT necessarily enable the economy to operate…

A: A production possibilities curve is a graphical portrayal of the combinations of services and goods…

Q: Refer to the shaded area on the graph to the right. The social cost of common access is the area of…

A: “Private cost is the actual cost incurred during an economic activity, such as production.”…

Q: Solve the attahment.

A: Production Possibility Curve shows the efficient allocation of the resources with given technology…

Q: What is internal and external economics? How many types are there in the internal and external…

A:

Q: Explain in words and show in your graph the “spillover cost" that occurs if people supply labor (S)…

A: A negative externality / external cost is a type of spillover which imposes a cost on the third…

Q: theory of external economies a

A: External economies of scale occur when an entire industry grows faster & firms get benefitted…

Q: What is the difference between the PRIVATE COST and the SOCIAL COST of education?

A: The amount that is being paid by an individual or entity for purchasing a service or good in order…

Q: One reason we need government, even in a market economy, is that: a. The invisible hand, while…

A: Market Economy Market economy refers to system where production of goods and services are directed…

Q: The good produced emits toxic waste to a nearby river. Eco nists ēs mate thi: unintended consequence…

A: “Since you have posted a question with multiple sub-parts, we will solve first three sub-parts for…

Q: When the government provides free and reduced lunches to low-income students, it is addressing which…

A: When the price mechanism in turn fails for accounting of all of the benefits and costs that are…

Q: Describe at least three reasons why market failure occur

A: The main reasons of Market failure occurs in the following ways:- 1.Negative Externalities:- This…

Q: h) What is the socially optimal level of production of leather by All-Leather? i) Draw a diagram…

A: The Marginal Social Cost (MSC) is the summation of the marginal private costs of a firm and the…

Q: Use Production Possibility Frontier to discuss the idea of 'efficiency'.

A: Production possibility frontier refers to different combination of two commodities that can be…

Q: What is the socially optimal output

A: The socially optimal output will occur when we set marginal benefit equals marginal cost and we also…

Q: What is an externality? And why are capitalist economies beset with pollution problems?

A: A capitalist economy is an economy in which private businesses controls and owns capital goods.

Q: How significant is the market failure?

A: In the theory of economics, market failure defined to be the situations when free-market allocation…

Q: Is environmental pollution a failure of the free market system?

A: Yes, environmental pollution is an outcome of free market system failure.

Q: The graph shows the marginal cost of abatement curve, which Price shows the extra cost to the firm…

A: A cost faced by businesses when they are forced to remove and reduce unwanted nuisances or negative…

Q: By market​ failure, the author means   A. a situation that occurs when one​ person's consumption of…

A: “Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: Mark can cook dinner in 30 minutes and wash thelaundry in 20 minutes. His roommate takes half aslong…

A: Opportunity costs is used to determine the comparative advantage. Opportunity costs are trade offs…

Q: Which of the following is an example of external business factor? A profit B customer C technology D…

A: External factors refer to those influences or situations over which a business has absolutely no…

Q: In which ways can a government make sure that the social cost is reflected in the firm’s supply? How…

A: Externalities is the situation where the action of one agent has some impact whether positive or…

Q: Consider a common resource good like a free camping ground next to a lake. a. What is the…

A: In economics, a common-pool resource is a type of good that consists of a natural or man-made…

Q: Sharing the Surplus A farmer works on a plot of land owned by a landlord. The figure below…

A: Dear learner you have posted multiple questions, as per our policy we have solved only first…

Q: To what extent is the economy likely to be the key external factor determining the success of…

A: In a market, firms enter to start their business in specfiic industry after analyzing the market…

Q: An externality arises when one economic agent's actions affect the welfare of others in ways that…

A: There are two externalities that can be considered here, either it can be positive externalities or…

Q: The branch of economics that assesses how efficienty and equitably an economy allocates its scarce…

A: The overall scarcity of the resources arises only and when the certain given resources or means to…

Q: industry 14 D B 4567 9 10 11 agriculture Here's a production possibility frontier graph. In this…

A: The production possibility curve depicts the combination of two goods that a nation can produce by…

Q: Adam Smith’s theory of the invisible hand is often used to justify a hands-off approach to market…

A: The automatic equibrialization of demand and supply in a free market situation by any unobservable…

Q: Which of the following is NOT true about the social marginal cost curve? O It represents the…

A: Marginal social cost refers to the cost to society in production or consumption of one extra unit of…

Q: why many argue the use of “market” prices will NOT necessarily enable the economy to operate at its…

A: Production frontier: PPF is a bend that delineates or shows the varieties in the sums that can be…

Q: Explain the effect of external cost on the quantity and price of market goods, using the graph. The…

A: External cost is the externality cost incurred other than the production expenses. For example, the…

Q: What is the source of surplus-value in Capitalism? (In relation to Paid and Unpaid Labor Time)

A: A single firm or production location does not create relative excess value. Instead, it develops…

Q: the resources are utilized efficiently to produce socially useful goods without taking the profit…

A: Socialist Economy is an economy where production of goods and services takes place for direct…

Q: Goods and Services are scarce becauser resources used to produce them are

A: # We know well that we live in a world of scarcity where the resources we have are limited in nature…

Q: Define social cost.

A: The private cost is the cost which is incurred by the producer to purchase the factor of production.…

Q: Identify what constitutes social cost of production.

A: Social cost of production: It is the cost that is being borne by the society it constitutes both the…

Q: Why does government intervention become necessary in the situation of market failure?

A: Market failure is an economic situation wherein the goods and services in an economy cannot be…

Q: What are market failures? Discuss examples of market failures. What can government do to improve the…

A: According to the concept of economic efficiency, a distribution of inputs among commodities and of…

Q: ystem (Academic) es of Microeconomics || Fall20 At the current level of output, the marginal social…

A: Marginal social benefit is associated with the change in benefits due to the change in consumption…

Q: Is the environment an economic asset? Is the environment a social asset? Explain

A: Economic assets are entities functioning as stores of import and over which ownership rights are…

Q: If education has private benefits to an individualas well as external benefits to society, explain…

A: An externality is said to be created when an individual takes part in an activity that also…

Q: Help me understand the consequences of the market failure

A: Answer: Market failure appears when the attainable outcomes are not achieved, it is a situation…

Q: Use the diagram below to answer the next three questions.    What price and quantity will the firm…

A: The concept of externality is very important as it covers the widely required concept of…

Q: Define social benefit.

A: In economics, there is a concept of social benefit and private benefit. Private benefit is the…