Externalities are defined as:
A) any transaction external to the firm.
B) costs or benefits that fall on third parties.
C) policies that firms adopt to sell products outside the country.
D) managers' dealings with stockholders outside the firm.
E) costs of maintaining plant and equipment to avoid the scrutiny of external auditors.
Correct Answer:
Verified
Q90: An example of a positive externality is:
A)pollution
Q92: Which of the following is not a
Q93: Which of the following is not a
Q95: The main source of revenue for the
Q96: The difference between fiscal policy and monetary
Q97: Which of the following is a justification
Q125: Market activity differs from government activity because
A)markets
Q131: When the government sells something it produces,
A)revenue
Q140: The term "fiscal policy" refers to
A)the amount
Q159: The second largest source of tax revenue
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