It's important to note that sometimes private solutions to externalities do not work. For example, this occurs when the number of parties involved is so large that it makes.....   "government action the only viable solution" "coordinating negotiations among all of the parties too costly" Which one of the two options above is the answer? Thanks

Q: Question 33 Which of the following makes it more likely that private solutions to externalities will…

A: The presence of externality leads to spill over costs or spill over benefits to the third party who…

Q: Can an activity generate both positive and negative externalities at the same time? Explain your…

A: Please find the answer below.

Q: Which of the following makes it less likely that private solutions to externalities will succeed?…

A: Externality refers to spillover effect of a good on third party which is not involved in the…

Q: Efficiency in the presence of externalities

A: Efficiency cannot be achieved in the presence of externalities. Because in externalities someone is…

Q: An externality is the impact of: a. None of the answers is correct. b. one person’s…

A: An externality is a market distortion that creates inefficiencies in the market outcome. It is the…

Q: Why transaction cost has become the reason to solve an externality problem?

A: Externality is the negative or positive spillover by the consumer or producer which affects the…

Q: Discuss negative externality its causes and possible solutions

A: Negative Externalities refers to the cost of consuming a good borne by the third party who is not…

Q: Private markets fail to reach a socially optimal level when positive externalities are present…

A: There are two types of externalities: positive and negative externalities.  Positive externalities…

Q: An externality can create a difference between costs/benefits and costs/benefits.

A: Externalities are the harmful or beneficial side effects arise out of production or consumption of…

Q: Environmental taxes tend to be regressive because... only income taxes can be progressive. O they…

A: A tax is regressive if people having higher (lower) income bear a lower (higher) proportion of their…

Q: The market inverse supply curve for amoxicillin, an antibiotic with lots of generics, is represented…

A: The above given situation of an antibiotic causing negative externality is explained as follows:

Q: How can the government solve this externality problem? Explain in detail.

A: When markets are functioning well, all the prices and benefits of a transaction for a decent or…

Q: Using a supply and demand diagram, demonstrate how a negative externality leads to market…

A: Externalities means when the production of economic agents causes benefits or cost to others. When…

Q: The Coase theorem does NOT apply if  a. There is a significant externality between two parties.  b.…

A: The externality is when the action of one individual affect the welfare of other individual who does…

Q: Which of the following would create a negative externality? A person plays loud music that can be…

A: An externality is a cost or benefit developed by the producer and incurred or received by the third…

Q: Explain the difference between positive and negative externalities along with an example.

A: Answer: An externality exists when some economic agent’s welfare (utility or profit) is directly…

Q: he Pigouvian solution to externalities directly compensates those who have had harm done to them.…

A: Externalities refer to the costs or benefits of an economic transaction incurred on a third party…

Q: a.) Taxes used to correct for a negative externality b.) Subsidies used to correct for a positive…

A: a. To use taxes to correct for negative externality, the Government needs to estimate value of…

Q: Which of the following is NOT the way to solve the problem of negative externalities? a. Transfer…

A: In economics, the term externality is used to define the impact of one's action on any other…

Q: 1. (Externalities) Complete each of the following sentences: a. Resources for which periodic use can…

A: whatever productive factors or economic factors or both factors are needed for the fulfilment of the…

Q: In the presence of a “negative externality," the free market would: O None of the above answers are…

A: Externality refers to the spill-over effect of a good on third party which is not involved in either…

Q: What government policy would encourage private consumers to act like the external benefits were…

A: By subsidizing goods and services with spillover effects, the government can help to promote…

Q: There is a road between the suburbs and downtown. The road is congested at rush hour, so each…

A: Externality is the negative or positive spillover by the consumer or producer which affects the…

Q: True or False • If a good is produced with no negative externalities, private cost will be equal to…

A: A negative externality / external cost are a type of spillover which imposes a cost on the third…

Q: Which of the following are examples of negative externalities? A. Reduced spread of COVID-19 and…

A: Since you have posted a question with multiple sub-parts, we will solve the first three sub-parts…

Q: Choose correct option. Q) The adoption of Qwerty keyboard over Dvorak is a result of,   a) History…

A: QWERTY is a keyboard design for Latin-script alphabets.

Q: Which of following would make it more likely that an externality problem could be solved efficiently…

A: Externality: An externality is a cost or benefit that is associated with the production or…

Q: Give an example of a real-life situation that gives rise to externality. Explain clearly about the…

A: The markets are the places where the buyers, and suppliers of different products meet with each…

Q: Explain how externalities can be solved.

A: Externality is the negative or positive spillover by the consumer or producer which affects the…

Q: Why do economists use the word “externality” to describe third-party effects that are harmful or…

A: Externality: An externality is an expense or advantage brought about by a maker that isn't…

Q: Externalities can not be positive. That is, there can be a third party cost associated with the…

A: The economics as a study is based upon the idea of scarcity, where the resources are limited in…

Q: Externalities: Suppose the daily inverse demand curve for gasoline in Portland is given by P = $100…

A: Externality refers to the external cost or benefits that are imposed on someone without their…

Q: Bruno loves playing rock ‘n’ roll music at highvolume. Placido loves opera and hates rock ‘n’…

A: Externalities are the cost or benefits that are affected to the third person, Deal of the two-person…

Q: Why the presence of the product variety externality does imply that there is too little entry of new…

A: * ANSWER :-  * Explanation :- A product externality leads to creation of a positive externality due…

Q: Assume that the marginal benehts to society of higher education are greater than the marginal…

A: A subsidy should be given to the consumer equal to the marginal external cost to achieve social…

Q: in the case of negative externalities ......... exceeds......... which leads to ........ by the…

A: A negative externality is an extra cost of production that is born by a third party which is not in…

Q: A public good Multiple Choice O O O generally results in substantial negative externalities. can…

A: Non rivalrous is a quality of the good which is that the quantity of good does not get reduced for…

Q: There is a road between the suburbs and downtown. The road is congested at rush hour, so each…

A: A negative externality is a cost suffered by a third party due to an economic transaction. Negative…

Q: 1. Suppose the price of product X is reduced from $16.00 to $12.00 and, as a result, the quantity of…

A: Since you have asked multiple question, we will solve the first question for you. If you want any…

Q: Which of the following results in a positive externality? You bring your lunch to school You pass a…

A: In an economy, externality is one of the market uncertainties that results in market inefficiency or…