An Externality Is Present Whenever an Activity Has a Physical

question 46

True/False

An externality is present whenever an activity has a physical impact (costs or benefits) on individuals not directly involved in the activity.

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Definitions:

Delegatee

An individual or party to whom duties or authority are delegated by another, known as the delegator.

Delegator

A person or entity that assigns tasks, duties, or responsibilities to another, typically within an organizational or managerial context.

Obligee

The party to a contract or agreement who is entitled to receive a performance or obligation from another party.

Assignment

The act of passing on rights, assets, or responsibilities from one individual to another.