Which of the Following Is True of a Positive Externality

question 29

Multiple Choice

Which of the following is true of a positive externality?

• A) Some costs are borne by a third party.
• B) The government can use taxes to move the market to the social optimum.
• C) There are no internal benefits.
• D) Some benefits accrue to a third party.
• E) Its existence always requires corrective measures by the government.

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Definitions:

Existential Import

In logic, existential import refers to the implication that the subjects of a statement necessarily exist. It is crucial in understanding categorical propositions.

Modern View

Current or contemporary perspectives and understandings in a particular field or on a particular topic.

Existential Import

In logic, refers to the assumption that a statement implies the existence of the subject it mentions.

Emotions

Complex psychological states involving subjective experiences, physiological responses, and behavioral or expressive reactions.