A negative externality is a situation where:
a. a third party suffers from a market transaction by others
b. a third party benefits from a market transaction by others.
c. a market is able to maximize net social welfare.
d. there is an increase in the private cost of a market transaction.
a
Economics
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Which of the following is NOT a part of aggregate expenditure?
A) exports B) investment C) imports D) government expenditure E) taxes
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Public goods are desired because
A) people want and value them but the private sector will not make them available. B) we want the government to spend our tax dollars. C) they came in small units. D) they make supply equal to demand for private goods.
Economics