When Does a Network Externality Exist

question 42

Multiple Choice

When does a network externality exist?

• A) when advertising has an impact on the number of people purchasing a good.
• B) when a change in the price of a good influences the quantity demanded.
• C) when the number of people purchasing a good impacts the supply curve
• D) when the number of people purchasing a good influences quantity demanded

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Definitions:

Truth Values

The valuation in logic that classifies statements into categories such as true, false, or, in some systems, indeterminate.

Short Form Truth Table

A condensed version of a truth table that only focuses on the rows that are critical for determining the validity of a logical argument.

Atomic Sentences

Simple sentences that contain no logical connectors and express a single complete thought or proposition.

Truth Values

The assessment of whether a statement is true or false in the field of logic.