Of the following activities, specify which ones would typically generate positive externalities, negative externalities, or no externalities:
a. You decide to trade in your 1997 Cadillac for a 100% electric Nissan Leaf.
b. Every morning while in the shower, you sing at the top of your lungs and very much off-key as long as no one else is at home.
c. You choose to not clean up after your German Shepherd when you take him for his midnight walks around the neighborhood.
d. After running out of space in your house, you decide to store your collection of 46 broken lawn mowers in your front yard.
e. As you do every year, this year you get a flu shot at the local Walgreens.
a and e generate positive externalities.
c and d generate negative externalities.
b does not generate externalities.
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Refer to Figure 4-3. If the market price is $2.50, what is the maximum number of ice cream cones that Kendra will buy?
A) 1 B) 2 C) 3 D) 4
Two investments have the following expected returns (net present values) and standard deviations: PROJECT Expected Value Standard Deviation Q $100,000 $20,000 X $50,000 $16,000 Based on the Coefficient of Variation, where the C.V. is the standard deviation dividend by the expected value
a. All coefficients of variation are always the same. b. Project Q is riskier than Project X c. Project X is riskier than Project Q d. Both projects have the same relative risk profile e. There is not enough information to find the coefficient of variation.
The slope of a consumer's indifference curve between two commodities represents
a. her marginal rate of substitution between the commodities. b. the relative prices of the goods. c. her marginal revenue from selling the commodities. d. her marginal revenue product from consuming the commodities.
Which of the following shifts aggregate demand to the right?
a. Congress reduces purchases of new weapons systems. b. The Fed buys bonds in the open market. c. The price level falls. d. Net exports fall.