As more people started using fax machines, fax machines became more valuable to individual users. This is an example of a(n) ________
A) moral hazard
B) adverse selection
C) network externality
D) negative externality
C
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Net present value of a project equals:
A) Discounted Benefit - Discounted Cost. B) Discounted Cost × Discounted Benefit. C) Discounted Cost/Discounted Benefit. D) Discounted Benefit/Discounted Cost.
Refer to Figure 29-1. Suppose that the U.S. government deficit causes interest rates in the United States to rise relative to those in the European Union. Assuming all else remains constant, how would this be represented?
A) Supply would decrease, demand would decrease and the economy moves from B to C to D. B) Demand would increase and the economy moves from A to B. C) Demand would decrease and the economy moves from B to A. D) Supply would increase, demand would decrease and the economy moves from C to B to A.