This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Which of the following gives rise to a positive externality? A) Sudden increase in the price of ... (Read 22 times)

AEWBW

  • Hero Member
  • *****
  • Posts: 579
on: Jun 29, 2018
Which of the following gives rise to a positive externality?
 
  A) Sudden increase in the price of oil due to a supply shock
  B) Sudden increase in the demand for diamonds leading to an increase in their price
  C) Deforestation leading to the extinction of many species
  D) Consumption of a drug to cure a communicable disease

Question 2

Explain the principal-agent relationshi
 
  What will be an ideal response?


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

emsimon14

  • Sr. Member
  • ****
  • Posts: 344
Reply #1 on: Jun 29, 2018
Answer to Question 1

D

Answer to Question 2

In a principal-agent relationship, the principal designs a contract specifying the payments to the agent as a function of his or her performance, and the agent takes an action that influences performance and thus the payoff of the principal.


AEWBW

  • Member
  • Posts: 579
Reply 2 on: Jun 29, 2018
YES! Correct, THANKS for helping me on my review

yeungji

  • Member
  • Posts: 319
Reply 3 on: Yesterday
Gracias!

« previous next »
 

Did you know?

In 1835 it was discovered that a disease of silkworms known as muscardine could be transferred from one silkworm to another, and was caused by a fungus.

Did you know?

Liver spots have nothing whatsoever to do with the liver. They are a type of freckles commonly seen in older adults who have been out in the sun without sufficient sunscreen.

Did you know?

There can actually be a 25-hour time difference between certain locations in the world. The International Date Line passes between the islands of Samoa and American Samoa. It is not a straight line, but "zig-zags" around various island chains. Therefore, Samoa and nearby islands have one date, while American Samoa and nearby islands are one day behind. Daylight saving time is used in some islands, but not in others—further shifting the hours out of sync with natural time.

Did you know?

In the United States, there is a birth every 8 seconds, according to the U.S. Census Bureau's Population Clock.

Did you know?

The average person is easily confused by the terms pharmaceutics and pharmacology, thinking they are one and the same. Whereas pharmaceutics is the science of preparing and dispensing drugs (otherwise known as the science of pharmacy), pharmacology is the study of medications.

Defibrillator. Defibrillators are devices that supply a voltage charge to the heart in the hope of r Defibrillator. Defibrillators are devices that supply a voltage charge to the heart in the hope of r
Nonverbal communications convey strong, powerful messages that may be negative or positive. Nonverbal communications convey strong, powerful messages that may be negative or positive.
Mean scores for Erikson’s stage VI (Intimacy) for two cohorts. Scores for both cohorts increase ... Mean scores for Erikson’s stage VI (Intimacy) for two cohorts. Scores for both cohorts increase ...
A high-performance aftermarket air filter often can increase airflow into the engine for more ... A high-performance aftermarket air filter often can increase airflow into the engine for more ...
IPCC Temperature Increase Predictions Relative to 1986-2005 IPCC Temperature Increase Predictions Relative to 1986-2005
Positive and negative selection during T-cell development. Positive and negative selection during T-cell development.
Video: What is Reverse Osmosis?

For a complete list of videos, visit our video library