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Which of the Following Would Be Classified as an Externality

Question 12

Multiple Choice

Which of the following would be classified as an externality?


A) Smoke from a chimney causes discolored and peeling paint on other houses in the neighborhood.
B) Noise from an unmuffled car wakes a sleeping person.
C) A neighbor cleans up a yard and repaints a house.
D) All of the above are externalities.

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