An example of third parties in the market of automobiles is
A)a pedestrian that is affected by the polluted air from automobiles.
B)a producer of automobiles.
C)a consumer of automobiles.
D)None of the above belongs to third parties.

Question

Quizplus · Accepted Answer

A pedestrian that is affected by the polluted air from automobiles is a third party in the market of automobiles because they are not directly involved in the production or consumption of automobiles, but they are impacted by the negative externalities (pollution) created by the market. Producers of automobiles and consumers of automobiles are not considered third parties because they are directly involved in the market.

An Example of Third Parties in the Market of Automobiles