Market failure -internal
0.0(0)
Studied by 0 people
Call with Kai
Knowt Play
Learn
Practice Test
Spaced Repetition
Match
FlashcardsCard Sorting
1/5
There's no tags or description
Looks like no tags are added yet.
Study Analytics
Name | Mastery | Learn | Test | Matching | Spaced |
|---|
No study sessions yet.
6 Terms
1
New cards
Social cost
Cost to society due to a negative externality (also called spillover cost)
2
New cards
Social benefit
benefit to society due to a positive externality (also called spillover benefit)
3
New cards
Marginal costs
the firms’ extra cost of producing an extra good unit
4
New cards
Social marginal cost
represents the firms marginal cost plus the spillover/social costs (or benefits) to society from producing that good.
5
New cards
Marginal benefit
extra benefit gained by the consumer from the consumption of extra units of a good
6
New cards
Social marginal benefit
represents the consumers marginal benefit plus the spillover benefits (or costs) to society of consuming the good