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Suppose Malaysia imports petroleum from other countries that may impose embargoes on exporting petroleum to the...

Suppose Malaysia imports petroleum from other countries that may impose embargoes on exporting petroleum to the country. Identify negative externalities to demonstrate how in Malaysia market may overconsume petroleum, while the import of petroleum may exceed the efficient level. How may Malaysia cope with this? Diagram/s required.

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Rahul Sunny answered 2 years ago
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