Given that most people like the smell of baking cinnamon rolls and dislike the smell of burning tires, baking cinnamon rolls generates ________ externality, and burning tires generates ________ externality.
A)a positive; a negative
B)a negative; a positive
C)a positive, no
D)no; a negative

Question

Quizplus · Accepted Answer

Positive externalities yield benefits to others while negative externalities impose costs on others.

Given That Most People Like the Smell of Baking Cinnamon