Evaluate the Following Statement in the Context of Business-Stealing and Product-Variety

question 66

Essay

Evaluate the following statement in the context of business-stealing and product-variety externalities: "We have too many student apartments in this town already. Statistics show that vacancy rates average 15 percent during any given semester."

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Definitions:

Parasitism

Symbiotic relationship in which one species (the parasite) benefits in terms of growth and reproduction, to the detriment of the other species (the host).

Mutualism

Symbiotic relationship in which both species benefit in terms of growth and reproduction.

Biosphere

Zone of air, land, and water at the surface of the Earth, in which living organisms are found.

Lithosphere

The rigid outer layer of the Earth, consisting of the crust and the upper mantle, involved in plate tectonics and continental drift.