If a Market Is Subject to a Positive Externality

question 76

Multiple Choice

If a market is subject to a positive externality,

• A) the demand curve reflecting social benefit will be to the right of the demand curve representing private benefit.
• B) there is only one demand curve.
• C) the demand curve reflecting social benefit will be to the left of the demand curve representing private benefit.
• D) private benefit will exceed social benefit.

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Definitions:

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Material (such as articles, videos, or posts) created to attract attention, interest, and provide valuable information to viewers or readers.

Investors

Individuals or entities that allocate capital with the expectation of receiving financial returns, typically by investing in businesses, securities, or other assets.

Product Or Idea

A specific good, service, or concept that is developed for sale or to solve a problem.

Blendtec

A company known for its high-quality blenders and part of a viral marketing campaign where they blend various items to showcase the power and durability of their products.