What do you understand by externalities? Why do they have to be addressed for sustaining economic activity or human wellbeing? A private or a market mediated approach to address externalities may not always be adequate in resolving the issue, therefore a recourse to public sector solutions is inevitable? Give suitable examples in elaborating your answer

Q: If a market situation arises where the externality is so dangerous in even small quantities, which…

A: In a market, government uses different types of policies to deal with externality. Different policy…

Q: For a competitive market in long-run equlibrium to be Pareto-efficient... Select one: a. Firms do…

A: Marginal private cost (MPC) is the change in the producer's total cost brought about by the…

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: 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: Comparing Private and Socially Optimal Outcomes with Externalities in a Table: Interactive Practice…

A: Negative externalities means the effect of economic activities on other person's wellbeing…

Q: With the existence of negative externality, determine the socially efficient level of output and…

A: In this question:- The marginal private cost(MPC)=6Q and Marginal private benefit=(MPB)=360-4Q 1. If…

Q: How can the government intervene to force consumers to internalize external costs associated with:…

A: Positive externality refers to the situation where the third party who does not involve in the…

Q: If the units of output purchased in a competitive market generate positive externality benefits, we…

A: Positive externalities generate an external benefit to third parties. This is the spillover or…

Q: Consider the following event and identify which type of externality it creates: “…. Congestion…

A: 'Congestion caused by driving car to work' This means that too many drivers driving the car to work…

Q: Is there a 'zero-externality' solution when it comes to poor air quality from pig farming, being the…

A: A negative externality takes place when the process of producing commodity results in harmful,…

Q: In a market without environmental regulations, will the supply curve for a firm take into account…

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Q: The following table shows the private value, private cost, and external cost for various quantities…

A: Hello. Since you have posted multiple questions and not specified which question needs to be solved,…

Q: Which of the following are examples of economic activities with negative externalities?   Question…

A: A negative externality is one an activity of an individual incurred a social cost for third party in…

Q: Assume that there is a positive externality in the market for organic bananas. The graph below shows…

A: A cost or benefit incurred or received by a producer that is not paid for by that producer is known…

Q: 24. Which of the following statements is correct? a. externalities are pathological when they have…

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

Q: What happens in a supply and demand diagram of the pesticide market when a corrective tax is used to…

A: Externality refers to the situation under which the actions of the producer or the consumer affects…

Q: Using practical examples, discuss how both positive and negative externalities are prevalent in…

A: Externality is the cost or benefit that comes from one agent but falls on another agent in the…

Q: To produce honey, beekeepers place hives of bees in the fields of farmers. As bees gather nectar,…

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

Q: Now suppose that scientists discover that this particular product has a significant Positive…

A: In economics, one of the major causes of market failure is the presence of externalities. An…

Q: ____________ includes both the private costs incurred by firms and also the (external) costs…

A: Private cost is the cost incurred by the firm on the production of goods. This cost includes the…

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: Should governments subsidize recycling programs if they are run at an economic loss? What types of…

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

Q: Use supply and demand diagrams to show that, in the presence of negative externalities (e.g.,…

A: a) The marginal social cost (MSC) curve is above the marginal private cost (MPC) curve by an amount…

Q: The next 3 questions involve the following Figure, which depicts a negative externality: Figure 3:…

A: We will use concepts such as Negative externality and deadweight loss to answer this question.

Q: When private costs differ from social costs, leading to a Tragedy of the Commons, which of the…

A: When private costs differ from social costs, leading to a Tragedy of the Commons then there must be…

Q: Use the following Graphical to answer questions.         a. Refer to the above diagram in which…

A: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the question and…

Q: best example of a positive external benefit generated

A: A positive external benefit is the benefit which an individual can get in spite of being unrelated.…

Q: Consider two ways to protect your car from theft. The Club (a steering wheel lock) makes it…

A: Externality: - it is a cost or benefit generated for the third party by the actions of other people.

Q: Which of the following is NOT a possible way of solving an externality problem of electricity…

A: A negative externality refers to negative spillover effects on the third party or on the society.

Q: Explain the role of the government is trying to provide a solution when an externality is present

A: Externalities are the costs and benefits that affect a third party who actually does not choose to…

Q: Give an example of a private solution to an externality.  What is the Coase theorem? Why are private…

A: Externality is the additional cost or benefit incurred to a third person who is not directly…

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: Knowledge creates positive externality; therefore, governments should intervene in the education…

A: Positive externality occurs when the consumption or production of a good causes a benefit to a third…

Q: Describe one type of negative market externality with a forest as it relates to climate change.…

A: a) Environmental or forest related externalities, such as natural resources or public health, are…

Q: The next 3 questions involve the following Figure, which depicts a negative externality: Figure 3:…

A: 25).  Market eqm. occurs where the MPC(marginal private cost) & the D(demand) curve cut, which…

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: Which of these is an ideal economic situation that leads to a positive externality? a. Social costs…

A: An externality is a cost or benefit incurred or received by a producer that is not paid for by that…

Q: Distinguish the true statements from the false statements. True False     Market failure occurs…

A: Externality refers to the spill over cost or benefits to the third party due to the activities of…

Q: Describe a real-world negative externality. In your externality identify who are the participants in…

A: 1. A cost borne by a third party as a result of an economic transaction is known as a negative…

Q: Do you believe higher education provides our economy with a positive externality? Why or why not

A: When a benefit accrues to a third party, it is called a positive externality. Negative externalities…

Q: Determine whether the actions below correct positive, negative externalities or neither: A. Correct…

A: When the production or consumption of a thing has an influence on other parties who are not directly…