The sound of birds singing from a new bird sanctuary in inner Melbourne could be considered an externality.

Question

Quizplus · Accepted Answer

An externality is a positive or negative consequence of an economic activity that impacts individuals or entities outside of the activity. In this case, the sound of the birds singing in a new bird sanctuary can be considered a positive externality, as it benefits people living in the surrounding area.

The Sound of Birds Singing from a New Bird Sanctuary