Externalities Are Due to Which of the Following

question 98

Multiple Choice

Externalities are due to which of the following?

• A) poorly defined or enforced private property rights
• B) individuals not caring sufficiently about the welfare of others
• C) the choice of a capitalist, rather than socialist, economy
• D) poor information on the part of buyers and sellers

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Definitions:

Issued Capital

The total value of a company's shares that have been issued and are held by shareholders.

Tax Rate

The percentage at which an individual or corporation is taxed.

Intragroup Transactions

Transactions that occur between entities within the same group of companies, often requiring elimination during the consolidation process.

NCI

NCI, or Non-controlling Interest, represents the portion of equity in a subsidiary not attributable directly or indirectly to the parent company.