Consider Two Goods--One That Generates External Costs and Another That

question 98

Multiple Choice

Consider two goods--one that generates external costs and another that generates external benefits. The actual market outcome would

• A) result in output that is lower than the efficient output for both goods.
• B) result in output that is higher than the efficient output for both goods.
• C) result in output that is lower than the efficient output for the good with an external benefit and output that is higher than the efficient output for the good with an external cost.
• D) result in output that is higher than the efficient output for the good with an external benefit and output that is lower than the efficient output for the good with an external cost.

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Definitions:

Trachea

The windpipe, a large membranous tube with cartilage rings that conveys inhaled air from the larynx to the bronchi.

Capillary Refill

A quick test to assess circulatory status by pressing on a fingernail or skin to see how quickly blood returns after being blanched.

Breath Sounds

The sounds made by air moving through the respiratory system, which can be normal or indicate various lung conditions.

Arterial Blood

Blood that is oxygen-rich and pumped from the heart to nourish the body, found in the arteries, distinct from the deoxygenated blood returned through veins.