4445EconomicsMedium
A negative externality generates?
Aa social cost curve that is below the supply curve (private cost curve) for a good
Ba social value curve that is above the demand curve (private value curve) for a good
Cnone of these answers
Correct answer
A. a social cost curve that is below the supply curve (private cost curve) for a good
Explanation
The correct answer is a social cost curve that is below the supply curve (private cost curve) for a good.