Tim Horton's coffee cups litter downtown Vancouver, creating a negative externality. In this situation, the

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marginal private benefits of drinking a coffee are more than the marginal social benefits.

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marginal private costs of drinking a coffee are more than the marginal social costs.

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marginal private benefits of drinking a coffee are more than the marginal social costs.

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marginal private benefits of drinking a coffee are less than the marginal social costs.

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marginal social costs of drinking a coffee do not include the marginal external costs of litter removal.

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