An Negative Externality Is Present Whenever

question 71

Multiple Choice

An negative externality is present whenever:

• A)​the private marginal cost of an activity exceeds the private marginal benefit.
• B)​the private marginal benefit of an activity exceeds the private marginal cost.
• C)​the social marginal cost of an activity exceeds the private marginal cost.
• D)​none of the above

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Definitions:

Objectively Measurable

Capable of being measured or quantified through unbiased methods or criteria.

Null Hypothesis

A statement in statistical hypothesis testing that assumes there is no significant difference or association between specified populations, any observed difference being due to sampling or experimental error.

Worldview I

The fundamental cognitive orientation of an individual or society encompassing the entirety of the individual or society's knowledge and point of view.

Objectively Measurable

Qualities or phenomena that can be quantified or evaluated by objective criteria rather than by personal feelings or opinions.