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An Example of an Externality Occurs When a Chemical Factory

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An example of an externality occurs when a chemical factory


Definitions:

Primary Drive

refers to the innate biological instincts, such as hunger and thirst, that motivate behavior required for survival.

Response Characteristic

A specific reaction or behavior exhibited by an individual in response to a stimulus or situation.

Primacy Effect

The tendency to remember information at the beginning of a list better than the information that follows.

Halo Effect

A cognitive bias in which the perception of one positive characteristic of a person influences the overall perception of them as favorable.

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