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Nonprofit organization dedicated to health care

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Question: A nonprofit organization dedicated to health care wants to open a new hospital near a residential neighborhood. A group of residents of that neighborhood protests this decision, claiming that traffic caused by the hospital will increase noise and auto emissions. The hospital rejects the idea of building a wall to contain the noise and fumes, claiming that this would be too expensive. Describe in a few sentences, using at least two terms introduced in this chapter, how an economist might describe this situation.

Reference no: EM131581657

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