Q.

Externality theory is the basic theory of the following branch of Economics:

A. Environomics
B. Fiscal Economics
C. International Economics
D. Macro Economics
Answer» A. Environomics
Explanation: In economics, an externality is a cost or benefit which results from an activity or transaction and which affects an otherwise uninvolved party who did not choose to incur that cost or benefit. Environmental pollution is a classic case of an externality. Externality theory forms the basic theory of environmental economics.
3.5k
0
Do you find this helpful?
33

View all MCQs in

Economics (GK)

Discussion

No comments yet