All of the Following Are Examples of Negative Externalities Except

question 18

Multiple Choice

All of the following are examples of negative externalities except one. Which is the exception?

• A) Water pollution.
• B) Your roommate going on a diet.
• C) Second-hand smoke.
• D) Loud conversation in the workplace.

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Definitions:

Probability

A measure of the likelihood of a particular event or outcome occurring, expressed as a number between 0 and 1.

Six-Sided Die

A six-sided die is a cube-shaped object used in gaming, with each side marked with one to six dots to represent values for random outcomes.

Expected Utility

A concept in economics and finance that represents the average outcome when individuals are faced with uncertain decisions, often used in the context of risk and decision making.

Warranties

Guarantees provided by the seller or manufacturer, asserting that a product will meet specified criteria of performance over a certain period, and offering remedies in case of failure.