Question

Explain how environmental and health costs are affected by the production of uses of goods and services in their marketplace.

Answer 1

Demand and cost of a product is inversely proportional to each other. The environmental and health costs will also inversly proportioanl to the production of uses of goods and services in their marketplace.

It means, if there will be more production or uses of goods and services in the market, the cost of the environmental and health costs will decrease.

For example: if there are 4 to 5 general hospitals in an small area and people infected with partcular disease are more then the health cost in this area will be less or limited.