1. The social cost of carbon is:

a. the difference between the marginal private cost of carbon and the marginal social cost of carbon

b. the difference between the external cost of carbon and the marginal cost.

c. $1,000

d. the difference between the total cost of carbon and the average cost of carbon.

2. Economic profits are:

A: the same as accounting profits.

B:accounting profits minus implicit costs.

C: the same as total revenue.

D: total profits of the economy as a whole.