A Network Externality Is

question 62

Multiple Choice

A network externality is:

• A) a direct effect on an economic decision maker.
• B) an indirect effect on an economic decision maker.
• C) the effect that an additional user of a good or participant in an activity has on the value of that good or activity for others.
• D) an uncompensated effect on someone other than the person who caused it.

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Definitions:

Social World

The arena of everyday life and interaction where societies develop and exist through shared norms and values.

Rituals And Symbols

Ceremonial acts and objects that carry specific meanings and embody culturally significant values, beliefs, or status.

Social Stability

The condition in which a society's social structures are functioning adequately, leading to the continuation and regularity of societal patterns and behaviors without major disruptions.

Social Identity

An individual's sense of self, shaped by their membership in social groups such as nationality, ethnicity, religion, and gender.