An Externality Is

question 53

Multiple Choice

An externality is

• A) a benefit realised by the purchaser of a good or service.
• B) a cost paid for by the producer of a good or service.
• C) a benefit or cost experienced by someone who is not a producer or consumer of a good or service.
• D) anything that is external or not relevant to the production of a good or service.

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Definitions:

Negligence

A failure to behave with the level of care that someone of ordinary prudence would have exercised under the same circumstances, resulting in harm.

Defamatory Statement

A false communication that harms another person's reputation, leading to legal liability.

Tort

A civil wrong that causes someone else to suffer loss or harm, resulting in legal liability for the person who commits the tortious act.

Public Figures

Individuals who are in the public eye, often due to their professions or activities, and as a result, they have a reduced expectation of privacy in aspects related to their public roles.