Standing in line at a small-town grocery store gives people a chance to socialize. is this a positive externality associated with the act of shopping? why or why not?

a. yes, because chatting with others is not inherently part of buying groceries
b. no, because the benefit is to the shoppers, not to third parties.
c. yes, because in large cities such socializing would not occur.
d. no, because people can casily socialize elsewhere, as well.
e. yes. because not every shopper is in a mood to talk.

A. Yes, because chatting with others is not inherently part of buying groceries

Explanation:

When a third party benefits from the transaction between two parties its is known as economic transaction. For example when the parents pay for college education for their children, school and the parents are not the only beneficiaries , it is also beneficial for the society as the student would become a good citizen and that would solve many social problems itself.

Standing in line at small town grocery store gives the people chance to socialise. It is part of positive externality because chatting with others is not inherently part of buying groceries, it is an extra benefit for the buyers.

$2.00 for three shots.

hi,

henry is an economist and wants to understand the relationship between inflation and consumer spending habits. for his research, he needs the consumer price index for 2014 and the inflation rate. based on the prices of goods given, what will he find to be the cpi and inflation rate for 2014? assume that a consumer’s basket for three consecutive years consists of the following:

you dont privide answer choices.

answer - 15% of a inflatation rate is 15% less in cpi