Question

Raven Farms raises a substantial number of bees and uses the honey to produce its own skin healing cream. Raven Farms is situated next to the Oakcreek Apple Orchard. The bees from Raven Farms pollinate Oakcreek's apple trees. In this instance, Raven Farms

Answer 1

Answer: B. provides more social benefits than it derives in private benefits.

Explanation:

Raven farms in this instance is deriving less private benefits than it gives social benefits.

Private benefits are those benefits that the producer gains as a result of their actions.

Social benefits on the other hand are the benefits gained by the producer as well as the benefits to society as well.

Raven's private benefits are the revenue it accrues from it's skin healing cream and yet those same bees still providing a societal service of pollinating Oakcreek Apple Orchard Apple. That shows that they are giving more social benefits than they are receiving.