To produce honey, beekeepers place hives of bees in orchards and crop fields.As bees gather nectar that they use to produce honey, they pollinate the orchards and fields increasing their yields of fruit and grain.This arrangement results in:
A)positive externalities that benefit both the beekeeper and the owner of the fields of fruit and grain
B)no significant additional benefit to anyone
C)a positive externality that benefits only the owner of the fields of fruit and grain
D)a positive externality that solely benefits the beekeeper

Question

Quizplus · Accepted Answer

The presence of the bees in the orchards and crop fields leads to both the production of honey for the beekeeper and an increase in the yield of fruit and grain for the owner of the fields. This represents a positive externality for both parties, as they both benefit from the presence of the bees. Therefore, choice A is the best answer.

To Produce Honey, Beekeepers Place Hives of Bees in Orchards