
Which of the following is an example of a positive externality?
A) raising the speed limit to 60 mph in school zones
B) planting trees along a sidewalk which add beauty and create shade
C) permitting smoking on commercial airplanes
D) a police department stops enforcing DUI laws
Correct Answer:
Verified
Q1: What is a market failure?
A)It refers to
Q2: What are property rights?
A)the title to ownership
Q3: When a negative externality exists, the private
Q4: Figure 5-1 Q5: A negative externality exists if Q7: An externality is Q8: A positive externality causes
A)there are price
A)a benefit realized by the
A)the marginal social benefit
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