A bottleneck is a:
A) positive externality resulting from network complementarities.
B) negative externality resulting from indirect network externalities.
C) positive externality resulting from congestion beyond the infrastructure capacity.
D) negative externality resulting from congestion beyond the infrastructure capacity.

Question

Quizplus · Accepted Answer

A bottleneck occurs when the capacity of a certain part of the infrastructure is reached and congestion occurs. This leads to negative externalities, such as delays and increased costs for users. The correct answer is therefore D, which describes a negative externality resulting from congestion beyond the infrastructure capacity.

A Bottleneck Is A