Multiple Choice
Which of the following is an example of a negative externality?
A) the benefit you receive when your neighbour installs a smoke detector
B) the reduction in profits for your company that occurs when there is a decrease in consumer demand for the product you manufacture
C) the change in the property values of your neighbours' homes when you paint your house and landscape your front yard
D) the sleep you lose when your neighbour throws a loud party next door that keeps you awake
Correct Answer:
Verified
Correct Answer:
Verified
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