ECON 1 Lecture 18: Negative Externalities
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01wh w wage rate he of labor hours. 1wh 0mw t 04l quantity effect dominates elastic total wage talls. Cov emissions tax interventions t trade it but competitive market maximizes profits total. Negative externalities benefits buyers and sellers trade not trade no produces pollution trade. 2 parties imposes damages on between other parties extract pollution. Externalities it externality or negativeexternality is effect on markets market may not be eticient maximize total profits we want gorn4 intervention. Ehluvians however external cosy is of ornaments ornaments make each. 0. 4 manufactured ornament air pollution damage on imposes each ethnvians would pay ornament of the 50 eh invians from being manufactured. 20 eh invians willing to pay 420 for. 20 eh invians for you it paid 15 don"t own ornaments. 40 for an an ornament ornament but make one. P l40 go buyers profits fsu ppiier. si profits. Q total private profits profits between buyers not too.
