A Negative Externality Exists If

question 134

Multiple Choice

A negative externality exists if

• A)there are price controls in a market.
• B)there are quantity controls in a market.
• C)the marginal social cost of producing a good or service exceeds the private cost.
• D)the marginal private cost of producing a good or service exceeds the social cost.

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Definitions:

Replacement Traffic Signal

A new traffic light installed to replace an old or malfunctioning one, ensuring safety and efficient traffic flow.

Technology

The use of scientific knowledge for practical purposes, especially in industry and everyday life.

Environmental Signals

Cues or indicators from an individual's surroundings that can influence behavior or decision-making, often considered in marketing and design.

Customer Personality Styles

The classification of customer behaviors and preferences that influence their purchasing decisions.