74.3k views
0 votes
What is an externality ?

2 Answers

3 votes

an externality is the cost or benefit that affects a party who did not choose to incur that cost or benefit - google

a benefit for someone who was not expecting it - me

hope this helps :)

User Mdthh
by
5.0k points
4 votes

An externality associated with a market can produce negative costs and positive benefits, both in production and consumption.

User Oleksandr Loushkin
by
5.0k points