what are 3 examples of negative externalities and 3 examples of positive externalities ?
what are 3 examples of negative externalities and 3 examples of positive externalities ?
Homework Answers
Negative externalities are the ones which incur a cost on a third party which is not involved in the transaction.
Examples of negative externalities are
Pollution by industries
Noise of land mower by the neighbour
Cigarette smoking
Loud music by roommate or flatmates
Traffic or congestion on roads
Positive externalities are the ones that cause benefit to third party which is not involved in transaction
Examples of positive externalities are
Educated community ( would increase overall productivity of the economy ie spillover effects)
Clean and hygienic society or community (it would cause less diseases)
Vaccination (would reduce the spread of diseases)
An apple farmer providing benefit to beekeeper which helps in production of more honey.
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what are 3 examples of negative externalities and 3 examples of
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