When the Consumption of a Good Generates Positive Externalities,_____

question 65

Multiple Choice

When the consumption of a good generates positive externalities,_____

• A)the private demand curve for the good shifts rightward.
• B)the private demand curve for the good shifts leftward.
• C)the private demand curve for the good lies below the marginal social benefit curve.
• D)the private demand curve for the good lies above the marginal social benefit curve.
• E)the equilibrium quantity of the good determined by the free private market is too high.

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Definitions:

Consumers

Individuals or groups who purchase goods or services for personal use and not for manufacture or resale.

Securities Fraud

A form of white-collar crime that involves deceptive practices in the stock and commodities markets.

Racketeer Influenced

Pertaining to businesses or operations corrupted by criminal activities, often associated with organized crime.

Corrupt Organizations Act

Often refers to laws designed to combat organized crime by allowing for legal actions against individuals and businesses involved in criminal activities.