Air pollution from a paper mill is an example of an externality in the production of paper.

Name: Air pollution from a paper mill is an example of an externality in the production of paper.
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An externality is a cost or benefit that is not reflected in the market price of a good or service, and in this case, the air pollution from a paper mill is a negative externality that is not factored into the cost of producing paper.

Air Pollution from a Paper Mill Is an Example of an Externality