Ask Question
24 August, 03:00

When a business produces a product that creates external costs?

+2
Answers (1)
  1. 24 August, 03:30
    0
    The business produces a level of output at the same level as it would produce without the external costs.

    This means that the company considers the level of output independent of the external costs, despite creating them. This approach is taken because they are external to the business or company, and, therefore, not a factor for the company's decision-making process and production decisions. External consequences can correct this decision-making process.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “When a business produces a product that creates external costs? ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers