Economics 9708 · AS & A Level · 7.4

7.4 — practice question

Some multinational oil companies that extract oil in developing countries are now obliged to repair the environmental damage they cause. What term best describes the total costs borne by the oil companies in these circumstances?

  • Aexternal costs
  • Bprivate costs plus external costs
  • Csocial costs plus external costs
  • Dsocial costs plus private costs

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