When There Are Positive Externalities Associated with the Consumption of a Good

question 18

Multiple Choice

When there are positive externalities associated with the consumption of a good, we can expect:

• A) the private demand curve to lie above the social demand curve.
• B) the private supply curve to lie below the social supply curve.
• C) the private supply curve to lie above the social supply curve.
• D) the private demand curve to lie below the social demand curve.

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Definitions:

Stressful Conditions

Situations or environments that create psychological or physical strain on individuals, often leading to a state of tension or discomfort.

Motivated

Having a strong desire or willingness to do something, driven by certain needs, desires, or goals.

Accountable

Being responsible for one's actions and decisions, and answerable to someone for those actions.

Fulfill Purpose

Fulfill purpose refers to achieving or realizing one's goals, intentions, or reasons for existence.