A Good Is Subject to a Network Externality When

Multiple Choice

A good is subject to a network externality when:

A) the value of the good to an individual is less when a large number of other people also use the good.
B) the value of the good is determined only by marginal private benefits.
C) an increase in the number of other people using the good increases its value to an individual.
D) a good yields negative externalities.