The Concept of External Benefit Is Associated with a Negative

question 38

True/False

The concept of external benefit is associated with a negative externality, but not with a positive externality.

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Definitions:

Perfectly Elastic

A situation in which any small change in price leads to an infinite change in quantity demanded or supplied.

Payroll Tax

Charges instituted on both employers and workers, typically a percentage of the employment remunerations.

Tax Burden

the measure of the total taxes imposed on individuals or businesses by the government.

Payroll Tax

Taxes imposed on employers and/or employees, typically based on the wages or salaries that employees earn.