When consumption of a good or service produces benefits or costs that are not reflected in the market price for the good, this is known as a(n):

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This is known as an externality, where the consumption of a good or service creates spillover effects on third parties that are not reflected in the market price. For example, pollution caused by a factory's production may harm the health of nearby residents, but the cost of that harm is not reflected in the price of the factory's products.

When Consumption of a Good or Service Produces Benefits or Costs