Suppose That in Most Car Collisions Between Cars of Unequal

question 113

Multiple Choice

Suppose that in most car collisions between cars of unequal size, the smaller car sustains the most damage and its occupants suffer the most injury. In answering the following question, assume that, on average, smaller cars generate less air pollution than larger cars and that every person in the economy drives at least one car. As the average size of cars increases, an individual's incentive to buy a smaller car:

• A)increases in order to prevent injury to others.
• B)increases to offset the external cost of air pollution.
• C)decreases because of the increased risk of injury in a collision.
• D)remains the same because car purchases depend on individual preferences.

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Definitions:

Unanimous

Complete agreement or consent among all members or participants.

Partnership Agreement

A legal document that specifies the rights and obligations of partners within a business partnership.

Deceased Partner

A Deceased Partner is a member of a partnership who has passed away, raising considerations regarding the continuation or dissolution of the business under partnership laws.

Majority Vote

A decision-making process where more than half of the votes cast by members eligible to vote are needed to pass a resolution or make a decision.