The Optimal Quantity of a Negative Externality Is Zero If

question 153

Multiple Choice

The optimal quantity of a negative externality is zero if:

• A)it imposes a high enough cost on society.
• B)it is costly for people to negotiate with each other.
• C)the majority of voters decide to eliminate the externality.
• D)the marginal cost of reducing the externality is zero.

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Definitions:

Occupational Diseases

Illnesses resulting from conditions or exposures related to specific lines of work or occupational environments.

Genetic Screening

A medical process that involves testing DNA to identify changes or mutations that may lead to disease or illness.

Work Pacing

Involves the rate at which tasks are expected to be completed in the work environment, often set by employer expectations or the demands of the job itself.

Organizational Stress

The stress experienced by employees due to factors related to their working environment, job roles, and organizational pressures.