An Example of a Cost Externality Occurs When a Mining

question 3

Multiple Choice

An example of a cost externality occurs when a mining company

• A)dumps waste in river upstream from a popular fishing spot.
• B)produces coal that is not in demand in a recession.
• C)underpays its employees.
• D)overwork its employees.

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Definitions:

Bureaucracy

An organizational structure characterized by a hierarchy of authorities, a clear division of labor, explicit rules, and impartial decision-making.

Jurisdiction

is the official power or authority to make legal decisions and judgments, often within a specific geographic area or over certain types of legal cases.

Canadian Provinces

Administrative divisions within Canada, consisting of 10 regions, each with its own government and responsibilities like healthcare and education.

Advanced Industrial Societies

Societies characterized by highly developed industries, technology, and complex social structures, often with significant economic and political influence.