When an additional unit of output is produced,the extra cost to society is the
A)average total cost.
B)marginal social cost.
C)marginal private cost.
D)marginal external cost.
E)total variable cost.

Question

Quizplus · Accepted Answer

The extra cost to society when an additional unit of output is produced is the marginal social cost, which takes into account both the private cost incurred by the producer and any external costs imposed on society. Therefore, the best choice is B, marginal social cost.

When an Additional Unit of Output Is Produced,the Extra Cost