All of the Following Statements Are True Except ________

question 73

Multiple Choice

All of the following statements are true except ________.

• A)an externality is a cost or a benefit that affects someone other than the seller or the buyer of a good
• B)when an electric utility does not consider the cost of pollution when it decides how much power to produce, the result is overproduction
• C)an electric utility creates an external cost by burning coal
• D)all externalities create overproduction
• E)an external cost creates overproduction

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Definitions:

Fundamental Attribution Error

The tendency to over-emphasize personality traits and underestimate situational factors when explaining another's behavior.

Internal Factors

Elements within an organization that can influence its performance, including its culture, policies, employee skills, and management capabilities.

External Factors

Elements outside of an organization that can affect its performance and strategies, such as market trends, regulations, and economic conditions.

Projection

A psychological defense mechanism where individuals attribute their own undesirable feelings, motives, or intentions to someone or something else.