Question
Externalities can be positive because
marginal damages do not last over time.
utility can be impacted positively as well as negatively.
there is no concept for marginal beneļ¬t.
positive externalities are subsidies.
marginal damages do not last over time.
utility can be impacted positively as well as negatively.
there is no concept for marginal beneļ¬t.
positive externalities are subsidies.
Answers
GPT-4o mini
The correct reason that supports the notion that externalities can be positive is:
**Utility can be impacted positively as well as negatively.**
Positive externalities occur when an individual's or firm's actions benefit others without that benefit being reflected in market prices. For example, education and vaccinations can create positive externalities by enhancing the well-being of society beyond the individual receiving them.
**Utility can be impacted positively as well as negatively.**
Positive externalities occur when an individual's or firm's actions benefit others without that benefit being reflected in market prices. For example, education and vaccinations can create positive externalities by enhancing the well-being of society beyond the individual receiving them.