Internalizing a Positive Externality Will Cause the Demand Curve to

question 85

Multiple Choice

Internalizing a positive externality will cause the demand curve to

• A)shift to the right.
• B)shift to the left.
• C)become more elastic.
• D)remain unchanged.

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Definitions:

Confederates

Individuals who are aware of the experiment's purpose and work with the researcher to simulate a social situation in order to manipulate the experimental setting, but are presented to participants as fellow participants.

Forced Compliance

is a psychological phenomenon where an individual is compelled to act in contradiction to their beliefs or attitudes, often leading to a change in those beliefs or attitudes due to cognitive dissonance.

Cognitive Dissonance

A psychological conflict resulting from incongruous beliefs and attitudes held simultaneously.

Central Route

A concept from the Elaboration Likelihood Model of persuasion, referring to the path of cognitive processing that involves detailed scrutiny of persuasive information.