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Explain How the Introduction of an Additional Competitive Market Can

question 25

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Explain how the introduction of an additional competitive market can always solve the efficiency problem that emerges from a positive externality.


Definitions:

Substitutability

The degree to which one element can replace another in performing a particular function or achieving a specific outcome.

Impression Management

The process by which individuals attempt to control the perceptions others have of them, through the manipulation of social interactions and presentation of self.

Machiavellianism

A personality trait focusing on manipulativeness, deceitfulness, and a disregard for morality to achieve one's goals.

Ingratiation

A social influence tactic aimed at making oneself more likable or acceptable to others, often by using flattery or other forms of strategic behavior.

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