A haulage company makes 1.8 million delivery runs in one year. The private cost of each delivery run is £400. Residents along the routes experience costs valued at £90 for each delivery run.
Calculate the total social cost of these delivery runs. Show your working.
127 exam-style questions on OCR GCSE Economics 3.8 Limitations of markets, covering 3.8.1 Positive and negative externalities, 3.8.2 Policies to correct externalities, 3.8.3 Impact of externality policies, and 3.8.4 Costs and benefits of externality policies. Each one has a worked solution and a mark scheme showing where the marks go.