Quizzizz team 3 (^ * ^) /<3

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Externality is when a production or....... process of certain goods or services affects ( causes damages or brings benefits) to the objects directly or in directly involved in the transaction, but those impacts are not fully reflected in the costs or benefits from the social point of view.

• consumption

• contribution

• solution

What are the types of externalities?

• fundamental externality

• negative externality

• social externality

• positive externality

What is the correct answer about market optimal output level:

• Q1: MPC = MPB

• Q1: MPC = MSC

• Q1: MPB = MB

• Q1: MSC = MB

What are the suitable strategies to cure the problem of market failure?

• Making the market competitive

• Internalizing the externalities

• Providing economic agents with asymmetric information about the market

• State intervention

Social welfare losses due to negative externalities are calculated by what area?

• ABD

• ABEF

• ACBD

• ABC

Is vaccination against COVID-19 with COVID-19 vaccine a positive or a negative externality?

• Positive externality

• Negative externality

When building a commercial center instead of being a park to bring beauty to the urban landscape and people passing by can enjoy its beauty, who will bear the negative externalities?

• Insects

• The people who living nearby

• People who go shopping

Which of the following is an example of a positive externality?

• Noise pollution caused by someone playing loud music in an apartment building leads to his neighbor having trouble sleeping

• Diseases and symptoms that are harmful to health, such as type 2 diabetes and metabolic disorders caused by overuse of processed foods - because they lack fiber and have too much sugar

• An industry company offers first aid classes to employees to increase safety in the workplace. As a result, the workers can give first aid and save the lives of others who are not working with the company

• Overuse of antibiotics leads to antibiotic resistance

TRUE or FALSE

Positive externalities do not cause loss of social welfare.

• True

• False

How many characteristics do negative externalities and positive externalities both have?

• 3

• 4

• 5

• 6