When an increase in a network's membership increases the product's value to users,there are
A)network externalities.
B)economies of scale.
C)natural monopolies.
D)diminishing costs.

Question

Quizplus · Accepted Answer

When the value of a product or service increases for each user with the addition of more users, it is called network externality. This is because the value is derived not just from the product or service itself, but from the interactions and connections among the users within the network. Examples of products or services with network externalities include social media platforms, telecommunications networks, and online marketplaces.

When an Increase in a Network's Membership Increases the Product's