A network externality occurs when
A) the usefulness of a good is affected by celebrities who use the good.
B) there is production cost savings from being networked with buyers.
C) the usefulness of a good is affected by how many other people use the good.
D) there is production cost savings from being networked with suppliers.
Answer: C) the usefulness of a good is affected by how many other people use the good.
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What does the term "increasing marginal opportunity cost" mean? How are increasing marginal opportunity costs represented on a bowed out production possibilities frontier?
What will be an ideal response?
When an organization sets up a self-contained unit, the risk management teams at the divisional levels become redundant
Indicate whether the statement is true or false
If there was no profit effect, but there was a misperception effect in the short run, then SRAS is ____ and LRAS is ____
a. upward sloping; upward sloping b. upward sloping: vertical c. vertical; upward sloping d. vertical; vertical
Well functioning financial markets promote what?
A) inflation.
B) deflation.
C) unemployment.
D) growth.