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    Macroeconomics Study Set 68
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    Exam 4: Market Failures Caused by Externalities Asymmetric Information
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    In a Situation Where an Externality Occurs, the "Third Party
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In a Situation Where an Externality Occurs, the "Third Party

Question 155

Question 155

Multiple Choice

In a situation where an externality occurs, the "third party" refers to those who


A) buy the product from others.
B) produce the product for others.
C) trade the product with others outside the nation or community.
D) are not directly involved in the transaction or activity.

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