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quester [9]
1 year ago
12

An externality is a benefit or cost associated with an activity that accrues to some third party who is not a direct participant

in the activity. True or false?.
Business
1 answer:
Slav-nsk [51]1 year ago
7 0

An externality is a benefit or cost associated with an activity that accrues to some third party who is not a direct participant in the activity. The Tragedy of the Commons suggests that people and states have a general set of incentives that encourage them to limit their consumption of public resources.

<h3>What Is an Externality?</h3>

An externality is a cost or benefit caused by a producer that is not financially incurred or received by that producer. An externality can be both positive or negative and can stem from either the production or consumption of a good or service.

To learn more about Externality visit the link

brainly.com/question/24233609

#SPJ4

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Answer:

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