When a Positive Externality Is Internalized,efficiency Increases by Shifting The

question 105

Multiple Choice

When a positive externality is internalized,efficiency increases by shifting the:

• A)external benefit from those not involved in the market to those involved.
• B)private cost from those involved in the market to those not involved.
• C)private cost from those not involved in the market to those involved.
• D)social cost from those not involved in the market to those involved.

Appreciate the ethical and fairness considerations critical to the role of a supervisor.

Understand the key roles and responsibilities of a supervisor.

Describe the management functions according to Henri Fayol.

Recognize the importance of cross-departmental cooperation for supervisors.

---

Definitions:

Zero Inventories

A business strategy aimed at minimizing holding inventory to reduce storage costs and waste, often relying on just-in-time production methods.

Labour Costs

Expenses incurred by a company for the salaries, wages, and other benefits provided to its employees.

Upstream/Downstream

Terms used to describe stages in a production or supply chain process; "upstream" involves raw material extraction or production, while "downstream" refers to the processing, distribution, and selling of finished products.

Direct/Indirect

Terms used to classify costs or activities based on their relationship to a cost object, with direct costs being easily traceable and indirect costs not directly linked.