An External Cost Is Best Defined as the Cost of an Activity

question 79

Multiple Choice

An external cost is best defined as the cost of an activity paid for by

• A) the individual who is engaged in the activity.
• B) the government.
• C) a third party.
• D) a free-rider.
• E) the individual and the third party.

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Definitions:

Placebo Treatment Group

A group of participants in a research study who receive a sham or inert treatment, allowing researchers to measure the placebo effect.

Placebo Control Group

A group in experimental research receiving a placebo or sham intervention, used to compare against the group receiving the actual intervention to measure its effect.

Manipulation Checks

Procedures used in experimental research to verify that the manipulations of independent variables have the intended effect on participants.

Salience

The quality of being particularly noticeable or important; in research, it refers to features that stand out and are likely to influence perceptions and behaviors.