A Negative Externality Is

question 93

Multiple Choice

A negative externality is:

• A) not as costly as a positive externality.
• B) a cost that individuals or firms impose on others without having to pay compensation.
• C) immune to economic incentives.
• D) an unavoidable consequence of budget deficits.

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Definitions:

Integrator

a person or tool that brings together or synthesizes different elements, systems, or components into a coherent whole.

Liaison Between Groups

A role or function that facilitates communication and coordination between different groups or departments within an organization.

Compromise Mechanism

A strategy used in conflict resolution where each party gives up something to reach a mutually acceptable solution.

Identification

A compromise mechanism whereby an individual patterns his or her behavior after another’s.