Which of the following is an example of an activity that creates a positive externality ?
A) an iron smelting factory emits sulfur dioxide into the air
B) the owner of a steamboat company dredges a river in order to improve navigation
C) a group of investors starts a business specializing in transporting goods via clipper ship
D) flatboat operators purchase steamboat tickets in order to return to their homes upstream
Correct Answer:
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