Which of the following is an example of a pecuniary externality?

Question

Economics · Microeconomics

Verified Solution4 OptionsUpdated: October 2026👁️1 View

Share:

Correct answer

An increase in house prices caused by increased buyer demand in a neighborhood.

Save this question and verified answer as a clean study sheet with live clickable link.

👥

Challenge your peer aspirants on WhatsApp or Telegram to solve this question!

Online Test Series

Practice full-length mock tests with real exam timers, instant score analysis, and all-India ranking.

Chapter Practice

Want more practice questions on Microeconomics?

Solve complete topic-wise tests with detailed solutions on GkGet.

Recommended practice questions in Economics · Microeconomics

The 'Drain of Wealth' theory was propounded by which Indian nationalist leader?

Which event is considered the turning point in Mahatma Gandhi's leadership in the Indian independence movement?

Which African leader is known for his non-violent opposition to colonial rule?

Answer 1

An increase in house prices caused by increased buyer demand in a neighborhood.

Answer 2

Noise pollution created by heavy traffic.

Answer 3

A paper mill discharging toxic wastewater into a river.

Answer 4

Air pollution created during steel production.

Related Practice Questions