Externalities are effects of a transaction on

Name: Externalities are effects of a transaction on
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Externalities are effects or consequences of a transaction that affect people who are not directly involved or parties to the transaction, such as third parties or society as a whole. These effects can be positive or negative, and they are not reflected in the market price of the goods or services exchanged between buyers and sellers. Therefore, externalities create market failures and inefficiencies.

Externalities Are Effects of a Transaction on