Which of the Following Occurs When an Externality Is Internalized

question 4

Multiple Choice

Which of the following occurs when an externality is internalized?

• A) An increase in social well-being
• B) An increase in private benefit
• C) An increase in deadweight loss
• D) An increase in returns to scale

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Definitions:

Nature

The inherent features, properties, or forces of the physical world or the universe, often contrasted with human-made or artificial aspects.

Processes

A series of actions or steps taken in order to achieve a particular end.

Excuse Game

A behavior pattern where individuals avoid taking responsibility for actions or failures by providing excuses.

My Excuses

An expression used to apologize for mistakes or errors, acknowledging responsibility.