Externalities Exist Because

question 53

Multiple Choice

Externalities exist because

• A) private costs differ from social costs.
• B) private costs are equal to social costs.
• C) government has created them.
• D) they are a function of socialism.

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Definitions:

Physiological Processes

Biological functions and activities carried out by living organisms to maintain life, such as respiration, digestion, and regulation of body temperature.

Guilty-knowledge Test

A type of psychological test used to determine if a person has knowledge only someone involved in a crime would have, based on their physiological responses.

Polygraph Test

A method of lie detection that measures and records several physiological indices such as blood pressure, pulse, respiration, and skin conductivity while a person is asked a series of questions.

Aggressive Behavior

Acts that can result in harm or discomfort to others, often characterized by physical or verbal hostility.