Economy, asked by brilliantnkosi15, 7 months ago

explain externalities as acause of market failure without a graph

Answers

Answered by itzinnovativegirl129
2

\huge!{\mathcal{\purple{A}\green{N}\pink{S}\blue{W}\purple{E}\green{R}\pink{!}}}

 An externality stems from the production or consumption of a good or service, resulting in a cost or benefit to an unrelated third party.

Externalities lead to market failure because a product or service's price equilibrium does not accurately reflect the true costs and benefits of that product or service.

 \huge\boxed{\fcolorbox{white}{pink}{Hope!it's helps u...xd}}

Similar questions