An Example of Extinction Is When You Tell Someone to Stop

question 414

True/False

An example of extinction is when you tell someone to stop smoking cigarettes, and the
person stops.

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Definitions:

Regulatory Changes

Modifications or updates in laws and regulations that affect how businesses operate and compete.

Property Rights

The rights to use, control, and obtain the benefits from a good or resource.

External Costs

Costs of a transaction or activity that affect parties who did not choose to incur that cost, often not reflected in the market price.

Social Cost

The total cost to society as a whole, including both private costs incurred by firms or individuals and external costs imposed on others.