Some Economists Have Suggested That Network Externalities Result in Consumers

question 45

Multiple Choice

Some economists have suggested that network externalities result in consumers being locked into the use of products with inferior technologies.Economists Stan Leibowitz and Stephen Margolis have studied cases that have been cited as examples of this and found that

• A)there is no convincing evidence that the alternative technologies were superior.
• B)consumers sometimes do become locked into the use of products with inferior technologies.
• C)in all of these cases, network externalities resulted in market failure.
• D)consumers use products with inferior technologies when their prices are lower than products with superior technologies.

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Definitions:

Intravenously (IV)

The method of administering fluids or medication directly into a vein through a syringe or IV line.

Identification

The process of recognizing or establishing the identity of a person or thing.

Medication Error

Any preventable event that may cause or lead to inappropriate medication use or harm to a patient while the medication is in the control of the healthcare professional, patient, or consumer.

Inhaler Refill

The process of obtaining more medication for an inhaler device, commonly used by individuals with respiratory conditions like asthma.