Asked by Ashley Jordan - Paparazzi Independent Consultant on Mar 10, 2024
Verified
Acid rain is an example of a negative externality.
Negative Externality
A situation where a third party is adversely affected by the outcome of a transaction or activity between others, not compensated by those causing the impact.
Acid Rain
Acid rain is precipitation with a high concentration of acidic components, typically resulting from industrial emissions that affect water, soil, and living conditions adversely.
- Distinguish between the impacts of positive and negative externalities.
Verified Answer
BD
Becca DownsMar 10, 2024
Final Answer :
True
Explanation :
Acid rain results from pollution (like sulfur dioxide and nitrogen oxides) that harms the environment, agriculture, and buildings, affecting individuals and entities not directly involved in its production, thus exemplifying a negative externality.
Learning Objectives
- Distinguish between the impacts of positive and negative externalities.