What Natural Disaster Contributed to the Disappearance of the Minoan

question 33

Multiple Choice

What natural disaster contributed to the disappearance of the Minoan civilization and gave rise to the legend of The Lost Island of Atlantis mentioned in Plato's writings?

• A) It was buried by thick ash deposits from the volcanic eruption of Thera about 1600 B.C. and sank as the caldera beneath the island collapsed.
• B) It was buried by thick ash deposits from Mt. Vesuvius in 79 B.C.
• C) It was obliterated by volcanic dust storms from North Africa in the sixth century A.D.
• D) It washed away in a giant tsunami about 79 A.D.

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Definitions:

Negative Externality

A cost that is suffered by a third party as a result of an economic transaction.

Pigovian Externality

A situation where a market activity imposes a positive or negative cost or benefit on a third-party that is not reflected in the market price.

Free-Rider Problem

A situation in a shared-resource system where individuals consume more than their fair share or pay less than their fair share of the cost.

Free-Rider Problem

A situation where individuals consume a public good without contributing to its cost, undermining the provision of that good.