Author Question: As more and more firms have acquired fax machines, the fax machine has become a standard means of ... (Read 103 times)

scienceeasy · **on:** Jul 1, 2018

As more and more firms have acquired fax machines, the fax machine has become a standard means of business communication. The increase in demand for fax machines for business communication:

A) is an example of the snob effect.
B) proves that the fax machine is an inferior good.
C) proves that the fax machine is a luxury good.
D) is an example of a positive network externality.
E) is an example of a negative network externality.

Question 2

In principle, a list of absolute necessities should change regularly over time.

Indicate whether the statement is true or false