If this pollution occurs, the marginal social cost equals the ...

[dalyningkenk]

If this pollution occurs, the marginal social cost equals the
 
  A) marginal external cost.
  B) private marginal cost.
  C) sum of the private marginal cost and the marginal external cost.
  D) private marginal cost minus the marginal external cost.

Question 2

Insurance works because
 
  A) all policyholders pay in according to risks and all then receive a pay out in return.
  B) all policyholders pay in according to risks and then receive a pay out only if they incur a loss.
  C) all policyholders pay in according to risks and nobody receives any pay out.
  D) only high risk policyholders pay in while everyone is entitled to a pay out.

[canderson530]

Answer to Question 1

C

Answer to Question 2

B

[dalyningkenk]

Thanks for the timely response, appreciate it

[dyrone]

Excellent