A Cost Imposed on Someone Who Is Neither the Consumer

question 467

Multiple Choice

A cost imposed on someone who is neither the consumer nor the producer is called a

• A)corrective tax.
• B)command and control policy.
• C)positive externality.
• D)negative externality.

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Definitions:

Variance

The statistical measure of the dispersion of a set of data points, often used to quantify risk or volatility in financial contexts.

Sharpe Ratio

A measure used to evaluate the risk-adjusted return of an investment portfolio.

Standard Deviation

A statistic that measures the dispersion of a dataset relative to its mean and is calculated as the square root of the variance.

Inflation

A general increase in prices and fall in the purchasing value of money over time.