Which of the Following Would Result in a Positive Externality

question 116

Multiple Choice

Which of the following would result in a positive externality?

• A)A local government establishes a price ceiling on rental apartments.
• B)An electric utility burns coal that causes acid rain.
• C)Medical research results in a cure for malaria.
• D)McDonald's adds new fat-free items to its menu.

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Definitions:

Bank of Paid Time

A system used by some employers where employees can accumulate paid time off, such as sick leave and vacation time, in a single account.

Preferred Provider Organization

A managed healthcare system in which members are encouraged to use a network of preferred doctors and hospitals for their health care needs, often at lower costs.

Managed Care Plan

A type of health insurance plan that contracts with medical providers and facilities to provide care for members at reduced costs.

Health Maintenance Organization

A type of health insurance plan that gives access to certain doctors and hospitals, often emphasizing prevention and wellness.