Some countries, such as Germany, have a mixture of highways with no speed limits and other roads with strict limits on vehicle velocity. How might these apparently contradictory rules relate to the externalities of high-speed driving

Q: Suppose that a local government, concerned about the externalities associated with gasoline…

A: Consumption is an activities through which goods and services are used by the people.

Q: Refer to the following table. The externality created by the production of refrigerators was $100.…

A: An external cost refers to the cost that arises to a third party as a result of economic activity or…

Q: Explain this statement in detail with graphs. "With externalities, private market outcomes do not…

A: Externalities arises when actions of one person effects actions of other people. In other words , It…

Q: Compared to a good with no externalities, a good with a negative externality will appear to have…

A: When the consequence of producing or consuming goods and services has the effect of imposing costs…

Q: Give four (4) economic activities that generate both positive and negative externalities

A: An externality is a positive or negative side effect of production or consumption in economics. It…

Q: The market for plasticans is perfectly competitive. Market Supply is given by Q=4P and Market Demand…

A: In economics, efficiency means that improving one party's situation without imposing a cost on…

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: What does it mean to "internalize" a negative externality? Please give an example.

A: Externality: - It is a cost/benefit, generated by the production/consumption by someone, which is…

Q: Give an example of a positive and negative externality.  Explain why market outcomes are inefficient…

A: Externality is an economic term referring to the cost (negative) or benefit (positive) caused by a…

Q: Which of the following represents the true economic cost of production when firms produce goods that…

A: Externality can be classified into two parts, Positive externality and negative externality. In…

Q: How does a positive externality change equilibrium price and quantity, relativeto the same market…

A: The externalities are the additional costs or benefits faced by the third party who is not involved…

Q: Consider a good with positive externalities. Relative to the outcome of an unregulated market, a…

A: Positive externalities occurs when prices are lower and quantities are higher.

Q: I'm struggling with this question, I have an understanding of what negative externalities are, but…

A: An externality is a cost or benefit to a third party who has no control over how the cost or benefit…

Q: Question 3 (Market Failure - Externalities) Consider the inverse demand function p = 400 – 2q in a…

A: In economics, a scenario is known as a "market failure" is one in which the supply of commodities…

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: The government can encourage the production of goods that create positive externalities by creating…

A: Posstive externality: when production of a goods enhanced the welfare of the parties that are not…

Q: Explain 'negative externalities,' defined in class as 'hidden costs' making the difference between…

A: ▪︎Negetive Externalities:- Negative externalities happen when the item and additionally utilization…

Q: Describe how government actions can lead to more efficient outcomes when negative and positive…

A: Externalities are certain benefits or losses accrue to a third person who is not involved in the…

Q: For the following alternatives, argue which is true, false or uncertain according to the following…

A: An externality occurs when the action of one affects the others in the society without their…

Q: If a firm does not pay for an external cost, who does? Why might there be a deadweight loss in a…

A: External costs referred to the costs borne by entities which were not caused directly by them. These…

Q: Why does a positive externality create a market failure and how can this market failure be solved by…

A: A cost or benefit resulting from the production or use of an item or service is known as an…

Q: Suppose an oil refinery produces air pollution that negatively affects the surrounding residents.…

A: To correct negative externality government generally impose tax per unit of output.

Q: If the production of a good causes a negative externality, the efficient level of output of that…

A: A negative externality is a cost borne by a third party as a result of an economic transaction. The…

Q: Explain how externalities can be solved.

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

Q: it is microeconomics    If a firm does not pay for an external cost, who does? Why might there be…

A: If a firm does not pay for an external cost, who does? Answer External costs are the cost, which is…

Q: Describe social benefits and social costs in externalities.

A: An externality is created when an individual or firm performs an activity that affects the…

Q: Suppose that in greater Sydney, the demand for flowering plants is given by P = 60 - Q, and supply…

A: Demand for flowering plant P = 60 -Q  Supply = 0.2Q  Marginal external benefit = $6

Q: Give four (4) economic activities that generate both positive and negative externalities

A: An externality is a positive or negative side effect of production or consumption in economics. It…

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: Why does a tax in an efficient market decrease total surplus, while a tax in amarket with a negative…

A: A tax refers to a financial charge imposed by the government on the sellers or consumers. It is…

Q: The market for plasticans is perfectly competitive. Market Supply is given by Q=6P and Market Demand…

A: Market equilibrium is where quantity demanded equals quantity supplied The total cost of externality…

Q: What areas in the above graph represent the externality damage from a negative externality without…

A: Negative externality arises when the act of production or consumption increases the cost or reduces…

Q: Describe externalities as a source of market failure with the aid of a clearly labeled diagram.

A: Externalities are the benefits or costs that result from an activity or transaction and that affects…

Q: Suppose the production of widgets causes a negative externality of $12 per unit. The current market…

A: A tax is a unilateral payment that the people pays towards the government for various purposes such…

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: Which of the following instruments is government most likely to apply when confronted with a…

A: Positive externality occurs when production or consumption results in external benefits on third…

Q: Explain why, in the absence of governmental environmental regulation, competitive markets…

A: Externality is the spillover effect to the third party other than the immediate market participant.…