Positive externalities are:
A) similar to negative externalities in their ease of measuring marginal benefits.
B) likely to be solved with the use of a Pigouvian tax.
C) difficult to measure, since marginal social benefits are hard to observe.
D) result from greater than optimal production of a good.

Question

Quizplus · Accepted Answer

Positive externalities are difficult to measure because the marginal social benefits they provide are often not directly observable or quantifiable.

Positive Externalities Are