When External Benefits Are Present in a Market

question 15

Multiple Choice

When external benefits are present in a market,

• A) less of the good will be produced than the amount consistent with economic efficiency.
• B) more of the good will be produced than the amount consistent with economic efficiency.
• C) the amount of the good produced will be equal to the amount consistent with economic efficiency.
• D) corresponding external costs are always generated.

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Definitions:

Bipolar Cells

Neurons located in the retina that function as intermediaries between photoreceptors (rods and cones) and ganglion cells, playing a critical role in visual signal processing.

Electromagnetic Waves

Electromagnetic waves are a form of energy that is propagated through the vacuum of space or through material media in the form of electric and magnetic fields oscillating at right angles to each other.

Color

A property of light as seen by people, primarily based on different wavelengths being perceived as different hues.

Color Sensations

Experiences or perceptions of colors by the visual system.