Market failure arising from negative externalities

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It's becoming more common to use card, despite the cash, so it's becoming a world without money

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Question 1: Explain how the production or consumption of the good or service creates externalities.

Question 2: Use an appropriate diagram to explain the externalities- postive and negative- associated with the good or service.

Question 3: Evaluate the measures that a government might adopt to correct market failure arising from negative externalities.

Question 4: Discuss to what extent should governments attempt to influence markets where positive externalities exist?

Reference no: EM132440663

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