When a Positive Externality Exists,_______________________ and Thus _______________ Intervention May

question 80

Multiple Choice

When a positive externality exists,_______________________ and thus _______________ intervention may be needed to achieve efficiency.

• A) external costs are necessarily greater than private costs; government
• B) social costs equal private costs; no government
• C) social costs are less than private costs; government
• D) social costs are greater than private costs; government
• E) none of the above

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Definitions:

Autonomic Nervous System

The part of the nervous system that regulates involuntary functions, such as heart rate, digestion, and respiration.

Memory

Cognitive function that allows storing, retaining, and recalling information from past experiences.

Parietal Lobe

A region of the cerebral cortex involved in processing sensory information related to touch, spatial orientation, and navigation.

Perception

The process by which individuals organize and interpret their sensory impressions to give meaning to their environment.