Network Externalities

question 82

Multiple Choice

Network externalities

• A)can only exist when there are economies of scale.
• B)prevent the dominance of a market by one firm.
• C)exist when the usefulness of a product increases with the number of consumers who use it.
• D)are created when celebrity endorsements of products lead to a surge in the demand for those products.

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Definitions:

Psychogenetic Investigation

pertains to the study of the influence of psychological factors on the development or evolution of human behavior.

Norbert Elias

A sociologist known for his work on the theory of civilizing processes, examining the historical changes in social behaviors and state formations.

Problem of Order

denotes the theoretical challenge within social sciences of explaining how societal norms and institutions maintain harmony and stability amid individual self-interests.

Normative, Nonrational, Affective

Describes decision-making or behavior guided by societal norms and emotional responses rather than logical rationale.