The costs of driving a gas-guzzling car also include the widely distributed impact of smog and the effects of carbon monoxide emissions, which economists refer to as negative

Question

Quizplus · Accepted Answer

Economists refer to the impact of smog and carbon monoxide emissions as negative externalities, which are costs that are not directly paid for by the consumer or manufacturer, but instead are borne by society as a whole. These costs are considered external to the market and therefore not reflected in the price of the product, leading to market inefficiencies.

The Costs of Driving a Gas-Guzzling Car Also Include the Widely