Which of the Following Has a Positive Externality and Hence

question 52

Multiple Choice

Which of the following has a positive externality and hence can be under provided?

• A) chronically ill people are not allowed to buy insurance.
• B) health insurance purchased through an employer
• C) vaccination
• D) Health Maintenance Organizations
• E) None of the above have a positive externality.

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Definitions:

Liabilities

Financial obligations or debts a company owes to others, such as loans, accounts payable, and mortgages.

Assets

Resources owned by a company that have economic value and are expected to provide future benefits.

Revenues

The total amount of money earned by a company from its normal business activities, typically from the sale of goods and services to customers.

Trial Balance

A financial worksheet where all ledger balances are totaled into debit and credit columns which balance equally.