A Negative Externality Arises When a Person Engages in an Activity

question 294

Multiple Choice

A negative externality arises when a person engages in an activity that has

• A)an adverse effect on a bystander who is not compensated by the person who causes the effect.
• B)an adverse effect on a bystander who is compensated by the person who causes the effect.
• C)a beneficial effect on a bystander who pays the person who causes the effect.
• D)a beneficial effect on a bystander who does not pay the person who causes the effect.

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Definitions:

Data

Facts and statistics collected together for reference or analysis, often seen as the basis for decision making or scientific research.

Sum of Squared Scores

The total obtained by squaring each deviation from the mean in a set of scores and then summing these squares, used to measure data variability.

Data

Data gathered for the purposes of reference or examination.

Data

Information collected for reference or analysis.