Foundations of Economics (8th Edition)
Foundations of Economics (8th Edition)
8th Edition
ISBN: 9780134486819
Author: Robin Bade, Michael Parkin
Publisher: PEARSON
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Chapter 11, Problem 7MCQ
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Consider the network effects of delivery service by drones in Rwanda. Identify the best example of a positive external benefit generated as new customers use the drone delivery service. As demand increases for delivery service by drones, a.a wider variety of products may be delivered by drone. b.highways may be built to service remote locations. c.social networks may also grow in popularity in Rwanda. d.goods may be damaged during delivery.
Does the following activity or event create an extemality? If it does, is it an external benefit or external cost and does it arise from production or consumption? An increase in the number of people who are studying for graduate degrees creates A person who wears strong perfume to class creates, Airplanes taking off from LaGuardia Airport during the US. Open tennis tournament nearby create A sunset over the Pacific Ocean creates OA. an external cost arising from production; no externality B. an external benefit arising from consumption; an external benefit arising from consumption OC. an external cost arising from consumption; no externality D. an external benefit arising from production; an external benefit arising from consumption OA. an external benefit arising from production; an external cost arising from production оооо B. an external cost arising from consumption; an external benefit arising from consumption OC. an external cost arising from production; an external benefit…
The U.S. government has threatened to increase tariffs on European luxury automobiles because of a trade imbalance between the United States and the European Union. For American automakers like GM and Ford, this action would reflect Multiple Choice A. reactive strategy that would harm the technological environmental force. B. proactive maneuver to manipulate the social environmental force. C. positive result from regulatory environmental forces. D. positive response to a technological environmental force. E. negative impact as a result of adverse competitive, regulatory, and technological environmental forces
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