Which of the Following Is an Example of a Negative

question 118

Multiple Choice

Which of the following is an example of a negative externality?

• A) Planting flowers in your front yard.
• B) Talking loudly when others are trying to study economics.
• C) People donating money to charity.
• D) The price of bread increases.
• E) Accidentally pushing someone as you try to cross the street.

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Definitions:

Aggregate Demand

Aggregate demand represents the total demand for goods and services within a specified economy at a given overall price level and in a given time period.

Determinant of Employment

Factors that influence the hiring decisions of employers and the availability of jobs within an economy.

Demand Creates

The assertion that consumer demand drives the production and supply of goods and services in the market.

Supply of Savings

The total amount of income that households choose to save and not consume, available for investment purposes.