Problem 17

The entire benefit to society from creating or using an item or service is known as a social benefit. All private benefits, as well as any external benefits of processing, are included in the social benefit. The social benefit of an item would be higher than the expected gain if it has important global advantages. For example, if a hospital comes up with an innovative tool that can help to make surgeries more easy and successful, it can give individual benefitss to hospitals, as well as benefits to all the patients going in the hospital for the surgery.