An Oil Field Lies Beneath the Border of Oklahoma and Texas

question 44

Multiple Choice

An oil field lies beneath the border of Oklahoma and Texas. Both states drill wells every 100 yards, and in two weeks, the field loses all its pressure and ability to produce, leaving 80% of the oil in the ground. This consequence is an example of market failure due to

• A) common property resource.
• B) public goods.
• C) nonrivalry.
• D) rivalry between the two revenue-hungry states.

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Definitions:

United States

A country located in North America consisting of 50 states, known for its diversified culture and strong influence on global politics and economy.

Majority Culture

The dominant cultural norms, values, and practices in a society, often exerting influence over social institutions and minority cultures.

Labeled Mentally Ill

A term referring to individuals who have been diagnosed or identified by healthcare professionals as having a mental illness.

Posttraumatic Stress Disorder (PTSD)

A psychiatric disorder that may occur in people who have experienced or witnessed a traumatic event, characterized by severe symptoms of distress and impairment.