Assuming a Product Can Be Manufactured Competitively Without Any Externalities

question 20

Multiple Choice

Assuming a product can be manufactured competitively without any externalities at an efficient quantity of 1,000 units and an efficient price of $100.00 per unit, what efficient quantity-price combination would be consistent with a negative externality?

• A)1,000 units, $95.00 per unit price.
• B)950 units, $102.00 per unit price.
• C)900 units, $90.00 per unit price.
• D)1,100 units, $105 per unit price.

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Definitions:

Charisma

A personal quality characterized by the ability to attract, influence, and inspire others through personal charm or appeal.

Innovation

The process of introducing new ideas, products, or methods to improve efficiency, effectiveness, or competitive advantage.

Economic Value

The worth of a good or service determined by the market, reflecting its ability to satisfy human needs or wants.

Contingency Approaches

Management theories suggesting that the best leadership or organizational practices depend on the specifics of the situation.