A network externality is:
A) a direct effect on an economic decision maker.
B) an indirect effect on an economic decision maker.
C) the effect that an additional user of a good or participant in an activity has on the value of that good or activity for others.
D) an uncompensated effect on someone other than the person who caused it.
Correct Answer:
Verified
Q11: External costs and external benefits are collectively
Q11: If people took external costs like pollution
Q12: External benefits are those that accrue:
A) directly
Q14: We call costs that fall directly on
Q15: The effect that an additional user of
Q17: Markets fail to maximize total surplus when:
A)
Q18: External costs are those costs:
A) that fall
Q19: An example of a good that creates
Q20: A positive externality is:
A) an external benefit.
B)
Q21: If a production process involved the creation
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