Question

Classify each scenario as to whether it describes a positive externality, no externality, or a negative externality Positive externality No externality Negative externality Answer Bank Jane raises bees to produce honey The U.S. government decides to Lyle and Julia fly from Chicago to Los Angeles with their newborn house all of its nuclear waste for her business, but her bees also pollinate many flowers in the neighborhood where she lives. material at Cactus Cliff, WY. As infant who cries the entire way. with all nuclear waste, there is no fail-safe protection method. The KingClaw fishing company Ronald, the first in his family to attend college, graduates from medical school illegally hunts the Coelacanth, a critically endangered fish that is close to extinction and decides to return home to work as a doctor in his old neighborhood.

Answer 1

Positive Externality, Social benefit> Personal benefit= External Benefit	No Externality, Social benefit-Personal benefit= 0	Negative Externality, Social benefit< Personal benefit= External Benefit
Positive Externality (Action results in additional benefits would be more)	No Externality (An action yields additional results to be zero)	Negative Externality(Action results in benefits to harm the third person)
Jane raises bees to produce honey for her business, but her bees		The US government decides to house all of its nuclear waste
Ronald, the first in his family to attend college		Lyle and Julia fly from Chicago
		The KingClaw fishing company illegally hunts