Technology is described as a positive externality but explicitly not:
AA public benefit
BThe only example
CA real example
DAn economic idea
Answer & Solution
Correct answer: B. The only example
1. The text is careful not to reduce positive externalities to one case.
2. Technology may be the most prominent example of a positive externality.
3. It is stated that it is not the only one.
4. Education and vaccination are further cases of the same pattern.
_Source: OpenStax Principles of Microeconomics for AP(R) Courses 2e (CC BY 4.0), Ch 13 'Positive Externalities and Public Goods', sections 13.1-13.4_
Keep practising Positive Externalities and Public Goods
Browse all Positive Externalities and Public Goods questions for AP Microeconomics, or explore more Economics topics.
Related questions
Complete the public goods ruleWhich property does it show?True or false: public goodsMatch each public goods termPrivate good or public good?The reason technology counts as a positive externality is that its benefits reach:Comparing a slice of pizza with a lighthouse beam shows that the pizza is:A tornado siren cannot be sold like a private good because the supplier cannot: