A known problem associated with the averting expenditure method is jointness of production, which refers to goods that provide services beyond those that improve the environment.

Question

Quizplus · Accepted Answer

Jointness of production can cause problems for the averting expenditure method because it may be unclear which goods are being purchased primarily for environmental improvement and which are being purchased for other reasons, such as convenience or quality.

A Known Problem Associated with the Averting Expenditure Method Is