Question

In: Economics

In chapter 8, you learned market failure, and a variety of relevant environmental topics. Pick one...

In chapter 8, you learned market failure, and a variety of relevant environmental topics. Pick one environmental issue other than air pollution or emissions, that represents a positive or a negative environmental externality, and discuss how it could be internalized by government actions or market mechanism. Do not pick educational, political, social, and health-related topics. Also discuss biblical principles associated with your chosen topic

Solutions

Expert Solution

Any thing which affect the third party who is not involved in a transaction can lead to positive or negative externality.

Suppose a person A buys flower pots from person B to decorate his house with it. He uses all the flower pots around his house which looks really beautiful. Person C walks through person A's house dailty for office and becomes happy after seeing the asethetic view of person A's house. person C is charmed by the rare and beautiful flowers and love watching the.

We can see that person A has created a positive externality in Person c's life by providing him aesthetic view everyday when he passes through his house.

Since it a positive externality there is not need for government to internalize it but yeas there will be some market mechanism like person C will buy those flower for his house and people looking person C's house will buy it for there house. This will have a ripple effect and the demand for plower pots will increase.

Rahul Sunny answered 2 years ago
Next > < Previous

Related Solutions

In chapter 8, you learned market failure, and a variety of relevant environmental topics. Pick one...
In chapter 8, you learned market failure, and a variety of relevant environmental topics. Pick one environmental issue other than air pollution or emissions, that represents a positive or a negative environmental externality, and discuss how it could be internalized by government actions or market mechanism. Do not pick educational, political, social, and health-related topics. Also discuss biblical principles associated with your chosen topic.
Pick one of these topics related to biology, animals, environmental issues, disease, exercise or nutrition, and...
Pick one of these topics related to biology, animals, environmental issues, disease, exercise or nutrition, and search the internet, finding an interesting website related to the topic. After looking over the websites, write a summary, 200-300 words, related to the topic.
1. a. Discuss the causes of market failure in the context of environmental economics (8 marks)...
1. a. Discuss the causes of market failure in the context of environmental economics b. In a competitive market, competitive equilibrium is said to be not an efficient equilibrium. Explain this statement.   c. Explain competitive equilibrium and efficient equilibrium using appropriate diagram. d. Explain methods to achieve competitive equilibrium and efficient equilibrium using: Marginal Social Benefit (MSB) = Marginal Social Cost (MSC) Comparing marginal profit (Mir) and marginal external cost (MEC). e. Use appropriate examples to explain negative externality and...
Why is there a market failure in the 401(k) market? (Hint: read chapter 8 and its...
Why is there a market failure in the 401(k) market? (Hint: read chapter 8 and its description of imperfect information) Write at least 2 paragraphs.
In chapter 12, you learned one of the most fundamental types of market structure – perfect...
In chapter 12, you learned one of the most fundamental types of market structure – perfect competition. Consider the following industries and discuss which industries could suit best into the category of perfect competition. Fruit industry Laptop industry Airline industry Yogurt industry
In chapter 2, you learned a variety of fundamental economic concepts. Identify two of the following...
In chapter 2, you learned a variety of fundamental economic concepts. Identify two of the following principles, and apply them to the real-world situations, using at least 300 words. Also, provide discussions on how biblical principles are integrated into those principles. (Due: Day 4 by 11:59pm; word count: minimum 300 words) People face scarcity and costly trade-offs People engage in rational making and marginal thinking People respond predictably to changes in incentives Specialization and trade can make everyone better off...
discuss an example of market failure in Hawaii in the environmental aspect.
discuss an example of market failure in Hawaii in the environmental aspect.
Market Failure Barriers to Entry Asymmetric Information Write one paragraph describing the market failure that you...
Market Failure Barriers to Entry Asymmetric Information Write one paragraph describing the market failure that you were assigned (Barriers to entry, Asymmetric Information). Specifically include the following: (a) how it would distort supply and/or demand (note: it probably only affects supply or demand); (b) how it would affect the quantity of health care used (i.e., does the externality lead to there being too much or too little health care used?); and, how would it affect the price charged relative to...
Pick one of the following topics on energy. Report back to class with a 3 to...
Pick one of the following topics on energy. Report back to class with a 3 to 5 paragraph mini-report in essay format on what you found including your own thoughts as to the time frame of if/when the energy source may become more commonplace. Your mini-essay should also contain a paragraph relating your alternate energy source to the chemistry concepts we've learned in lecture material, for example - discuss a balanced reaction, the chemical structure of the materials involved in...
Pick and respond to one (only one) of the following topics/questions: (your post should be a...
Pick and respond to one (only one) of the following topics/questions: (your post should be a minimum of 125 words). 1- List five of your favorite phrases that you use repeatedly every day. How do you think these phrases define you (explain when and how you use them with who...) 2- What is your favorite and least favorite U.S. dialects and Why? (you need to list and discuss both your favorite and least favorite). 3- There is a debate across...
ADVERTISEMENT
Subjects
ADVERTISEMENT
Latest Questions
ADVERTISEMENT