Positive externalities imply _________by others,that private actors cannot appropriate,and result in a tendency for private actors to undertake _______ of the activity.

Question

Quizplus · Accepted Answer

Positive externalities occur when the actions of an individual or firm benefit others, but the individual or firm cannot capture all of those benefits. This often leads to underinvestment in the activity that generates the positive externality, as the private actors do not receive all the rewards of their actions.

Positive Externalities Imply _________By Others,that Private Actors Cannot Appropriate,and Result