Exhibit 31-4 -Refer to Exhibit 31-4. If a Negative Externality Exists,then the Negative

question 141

Multiple Choice

Exhibit 31-4

-Refer to Exhibit 31-4. If a negative externality exists,then the socially optimal output is

• A) Q₁.
• B) Q₂.
• C) Q₁ - Q₂.
• D) Q₂ - Q₁.

---

Definitions:

Personality Type

A classification of individuals based on their characteristic patterns of thoughts, feelings, and behaviors.

ANOVA

Stands for Analysis of Variance, a statistical method used to test differences between two or more means.

Dependent Variables

Variables in an experiment that are expected to change as a result of manipulations to the independent variable.

Independent Variables

Variables that are manipulated or selected by the researcher to determine their effect on the dependent variable.