A positive externality or spillover benefit occurs when:
A. product differentiation increases the variety of products available to consumers.
B. the benefits associated with a product exceed those accruing to people who consume it.
C. a firm does not bear all of the costs of producing a good or service.
D. firms earn positive economic profits.
Answer: B
Economics
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What will be an ideal response?
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An easier monetary policy ________ the user cost of capital, which ________ net investment
A) raises, raises B) raises, lowers C) lowers, raises D) lowers, lowers
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