When a Negative Externality Is Present in a Market,government

question 106

Multiple Choice

When a negative externality is present in a market,government

• A) must regulate it.
• B) should regulate it if the public supports regulation.
• C) should never regulate it.
• D) needs only regulate it if loss of life is involved.
• E) should regulate it if the benefit of regulation exceeds the cost.

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Definitions:

Plateau

A state of little or no change following a period of activity or progress, often used in contexts like physical fitness, learning, and growth curves.

Cytoplasm

The jelly-like substance within a cell, excluding the nucleus, containing organelles, where various cellular processes occur.

Action Potential

A rapid, temporary change in the electrical charge of a neuron's membrane, facilitating the transmission of signals.

Mitral Valve Prolapse

A condition where the valve between the heart's left upper chamber (left atrium) and the left lower chamber (left ventricle) doesn't close properly.