When Externalities Are Present in a Market,how Is the Well-Being

question 161

Multiple Choice

When externalities are present in a market,how is the well-being of market participants and market bystanders affected by government policies

• A)Market participants are directly affected, and market bystanders are indirectly affected.
• B)Market participants and market bystanders are both directly affected.
• C)Market participants and market bystanders are both indirectly affected.
• D)Market participants are indirectly affected, and market bystanders are directly affected.