Final answer:
A shadow price is the price reflecting the social value of a good or service.
Step-by-step explanation:
A shadow price is defined as the price reflecting the social value of a good or service. It represents the value that a good or service holds for society beyond its market price. Shadow prices can be used to measure the societal benefits or costs of different goods or services that are not directly reflected in their market price. For example, when calculating the shadow price of a renewable energy project, the positive impact on the environment and public health would be considered.