Positive Externalities Are _____ Because Their Producers Have No Incentive

question 22

Multiple Choice

Positive externalities are _____ because their producers have no incentive to take the _____ into account.

• A)oversupplied;external cost
• B)undersupplied;external benefit
• C)oversupplied;external benefit
• D)undersupplied;external cost

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Definitions:

Critical Value

A value that is compared with the test statistic to determine whether H0 should be rejected.

Independent Variables

Factors that are manipulated or changed in an experiment to assess their effects on dependent variables.

Determination

The process of deciding or concluding something based on data, evidence, or logical reasoning.

Independent Variables

Factors in an experiment that are manipulated or changed to observe their effects on dependent variables.