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Externalities result when all costs and benefits are internalized. individuals dont take into account benefits or costs of t
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Answer #1

Answer: Individuals don't take into account benefits or cost of their decisions that spill over onto third parties.

Explanation:

Externalities occur when a product has is being produced or consumed while a part of cost or benefits of such product is applied to an third unrelated party.

Hence, the above answer most apt according to the definition off externalities

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