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Practice Questions
Test your understanding with targeted questions related to the topic.
Question 1
Easy
What is a positive externality? Provide an example.
💡 Hint: Think about activities that provide benefits to others.
Question 2
Easy
Define a negative externality.
💡 Hint: Consider examples where harm is caused to others.
Practice 4 more questions and get performance evaluation
Interactive Quizzes
Engage in quick quizzes to reinforce what you've learned and check your comprehension.
Question 1
What is an externality?
- A direct transaction between buyers and sellers
- An effect on unrelated third parties
- A government regulation
💡 Hint: Think about what happens when one person's action affects others.
Question 2
True or False: Positive externalities can cause costs to others.
- True
- False
💡 Hint: Consider the nature of benefits vs. costs.
Solve 2 more questions and get performance evaluation
Challenge Problems
Push your limits with challenges.
Question 1
Analyze how a new public transportation system can create positive externalities in a community.
💡 Hint: Consider broader societal effects that arise from improved travel options.
Question 2
Critically evaluate the role of government regulation in controlling negative externalities associated with industrial pollution.
💡 Hint: Think about the trade-offs between environmental protection and economic growth.
Challenge and get performance evaluation