If Firms in an Industry Are Generating Knowledge That Other

question 2

Multiple Choice

If firms in an industry are generating knowledge that other firms can use without paying for it, this industry is characterized by

• A) social costs that exceed private costs.
• B) social benefits that exceed private benefits.
• C) social costs that exceed social benefits.
• D) private benefits that exceed social benefits.
• E) social benefits that undermine private benefits.

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Definitions:

Alexander Hamilton

One of the Founding Fathers of the United States, known for his role in the country's financial system, the Federalist Papers, and as the first Secretary of the Treasury.

Political Party

An organized group of people with at least roughly similar political aims and opinions, that seeks to influence public policy by getting its candidates elected to public office.

Ultimate Goal

The overarching objective or aim that an individual, group, or organization strives to achieve.

Primary Elections

Elections held to determine the nominees from political parties who will run in the general election for various offices.