Which of the Following Is an Example of an Activity

question 98

Multiple Choice

Which of the following is an example of an activity that can give rise to a strict liability tort?

• A) driving a car on a mountain road
• B) opening a new restaurant
• C) hiring an employee who is serving a contract with a competitor
• D) using explosives to enlarge streets in a residential area

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Definitions:

Marginal Benefit

The gain in pleasure or value received from the consumption of one more unit of a good or service.

Public Project

A project typically financed and operated by the government designed to serve the public interest or provide a public good.

Majority Vote

A method of decision-making where the option that receives more than half of the votes wins.

Negative Externalities

Costs experienced by a third party not involved in a transaction, arising from production or consumption of goods and services.