ECO 365 Week 2 participation Principles of Microeconomics, Ch. 10 Externalities

ECO 365 Week 2 participation Principles of Microeconomics, Ch. 10 Externalities

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ECO 365 Week 2 participation Principles of Microeconomics, Ch. 10: Externalities
 

Read Ch. 10 of Principles of Microeconomics:

 

 

 

10-1 Externalities and Market Inefficiency, pp. 197-202 
 

 

Consider the following as you read:

 

 

 

Consider why markets sometimes fail to allocate resources efficiently, how government policies can potentially improve the market’s allocation, and what kinds of policies are likely to work best.
 

 

Consider the term externalities and how it relates to the consumer.
 

 

Consider the term negative externality and how it relates to the consumer.
 

 

Consider the term positive externality and how it relates to the consumer.
 
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