Costs of production that affect people who have no control over how much of a good is produced” is referring to rationing a black market spillover costs a supply shock

Costs of production that affect people who have no control over how much of a good is produced is referring to spillover costs.

In economics a spillover is an economic event in one context that occurs because of something else in a seemingly unrelated context.

The price of a product or service is paid by the consumer and used by the producer to pay for the costs involved in making the product or delivering the service. Nevertheless, some of the benefits and costs of a product may not be part of a free market transaction and may arised from other parties.  

where is the picture