When Lisa Drives to Work Every Morning,she Drives on a Congested

question 343

Multiple Choice

When Lisa drives to work every morning,she drives on a congested highway.What Lisa does not realize is that when she enters the highway each morning she increases the travel time of all other drivers on the highway.In this case,the external cost of Lisa's highway trip

• A) increases the social cost above the private cost.
• B) lowers the social cost below the private cost.
• C) increases the social value above the private benefit.
• D) decreases the social value below the private benefit.

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Definitions:

Negative Aspects

Undesirable or harmful features, qualities, or outcomes.

Quick Decisions

Rapid choices or judgments made with minimal deliberation, often relying on intuition or instinct.

Simple Heuristics

Quick, efficient rules or mental shortcuts that help in decision-making, allowing for rapid judgments or problem-solving with minimal cognitive effort.

Evolutionary Psychologists

Scientists who study the psychological adaptations of humans to the changing physical and social environment, especially those that are shaped by natural selection.