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According to Arousal Theory, the Higher a Person's Level of Arousal

question 152

True/False

According to arousal theory, the higher a person's level of arousal, the higher his or her level of motivation to engage in physiologically arousing behavior.


Definitions:

Positive Externality

A benefit that is enjoyed by a third-party as a result of an economic transaction, without them necessarily being involved in the transaction.

Marginal Social Benefit

Sum of the marginal private benefit plus the marginal external benefit.

Demand Curve

A graph showing the relationship between the price of a good and the quantity demanded.

Abatement

The reduction or removal of environmental pollutants or negative externalities to improve environmental quality.

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