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Quizzizz team 3 (^ * ^) /<3

Total questions: 13

Worksheet time: 7mins

Name
Class
Date
1.

Fill in Blank


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.

a)

consumption

b)

contribution

c)

solution

2.

What are the types of externalities?

a)

fundamental externality

b)

negative externality

c)

social externality

d)

positive externality

3.

What is the correct answer about market optimal output level:

a)

Q1: MPC = MPB

b)

Q1: MPC = MSC

c)

Q1: MPB = MB

d)

Q1: MSC = MB

4.

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

a)

Making the market competitive

b)

Internalizing the externalities

c)

Providing economic agents with asymmetric information about the market

d)

State intervention

5.

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

a)

ABD

b)

ABEF

c)

ACBD

d)

ABC

6.

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

a)

Positive externality

b)

Negative externality

7.

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?

a)

Insects

b)

The people who living nearby

c)

People who go shopping

8.

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

a)

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

b)

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

c)

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

d)

Overuse of antibiotics leads to antibiotic resistance

9.

TRUE or FALSE


Positive externalities do not cause loss of social welfare.

a)

True

b)

False

10.

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

a)

3

b)

4

c)

5

d)

6

11.

Inefficient solutions in case of negative externalities are:

a)

Providing free hand to market forces for production of all goods

b)

Mergers between the pollution generating firm and the firm affected by the pollution

c)

internalizing externality by imposing tax on pollution generating firm

d)

All of the above

12.

Which is not a market failure of a market economy related to externalities?

a)

Climate change

b)

Unemployment

c)

Monopoly

d)

Pay taxes

13.

Vedan discharge into Thi Vai River is an environmental pollution case discovered by the Environmental Police Department - Ministry of Public Security of Vietnam in collaboration with the Ministry of Natural Resources and Environment of Vietnam on September 13, 2008 at Vedan Viet Company. This case is an example of a positive externality or a negative externality

a)

Negative externality

b)

Positive externality