A Positive Externality Exists Whenever

question 18

Multiple Choice

A positive externality exists whenever

• A) there are no internal costs.
• B) production of a good creates an external cost.
• C) production of a good creates an external benefit.
• D) production of a good has no social cost.
• E) production of a good has no social benefit.

---

Definitions:

The Retina

The retina is a layer of tissue at the back of the eye that senses light and sends signals to the brain, enabling visual perception.

The Cornea

The transparent front part of the eye that covers the iris, pupil, and anterior chamber, contributing to the eye's focusing power.

Optic Chiasm

An X-shaped structure in the brain where the optic nerves partially cross, involved in the visual processing system.

Visual Field

The entire area that can be seen when the eyes are focused in one direction, including both central and peripheral vision.