Which of the following provides an example of an externality?
a. The air pollution generated when you drive your car
b. The view that passersby and neighbors enjoy when observing your rose garden.
c. The free concerts neighbors hear when an accomplished musician practices at home.
d. All of the above.
d
You might also like to view...
When one company is owned by a corporation but is chartered separately from the parent company, this is
A. a subsidiary. B. a clone. C. used for tax evasion. D. illegal.
Between 1820 and 1860, cotton output per slave:
a. remained fairly stable. b. increased by about 10 percent. c. increased by fourfold or more. d. decreased slightly.
From society's perspective, a possible benefit of a cartel is that it could:
A. provide incentives for the introduction of superior products by competitors. B. not earn economic profits. C. minimize average total costs. D. provide incentives for firms to cooperate in setting price and output.
When individuals make decisions about how much money and bonds to hold, which of the following variables affects those decisions?
A) the real interest rate only B) the nominal interest rate only C) the expected inflation rate only D) either the real interest rate or the expected inflation rate E) both the nominal and real interest rates