Question

Farmers who apply pesticides to a crop to save it from pest damage, benefit immediately.

However, when many farmers use pesticides, the water system now polluted with pesticides may be permanently damaged resulting in fewer crops for all. This is an example of a

Answer 1

Explanation : Negative Externality.

In this scenario, the immediate benefit of applying pesticides to save crops from pest damage is enjoyed by individual farmers. However, when many farmers use pesticides, the water system becomes polluted with pesticides, leading to long-term damage. This pollution affects not only the farmers who applied the pesticides but also other farmers who rely on the same water system for irrigation.

The negative externality arises because the cost of water pollution is not borne solely by the farmers who used pesticides but is spread across all farmers who suffer from reduced crop yields due to the damaged water system. The pollution of the water system leads to a decrease in the overall productivity of crops, affecting the agricultural sector as a whole.

Therefore, this situation exemplifies a negative externality, where the actions of individual farmers have unintended negative consequences for others in the form of reduced crop yields and permanent damage to the water system.

negative externality.

In this scenario, the immediate benefit of applying pesticides to save crops from pest damage is enjoyed by individual farmers. However, when many farmers use pesticides, the water system becomes polluted with pesticides, leading to long-term damage. This pollution affects not only the farmers who applied the pesticides but also other farmers who rely on the same water system for irrigation.

The negative externality arises because the cost of water pollution is not borne solely by the farmers who used pesticides but is spread across all farmers who suffer from reduced crop yields due to the damaged water system. The pollution of the water system leads to a decrease in the overall productivity of crops, affecting the agricultural sector as a whole.

Therefore, this situation exemplifies a negative externality, where the actions of individual farmers have unintended negative consequences for others in the form of reduced crop yields and permanent damage to the water system.

Answer 2

The given scenario is an example of the primary benefits of pesticide use.

Step-by-step explanation:

Farmers who apply pesticides to save crops from pests benefit immediately through primary benefits. Primary benefits include direct gains, such as preventing crop losses and increasing yields, which can be substantial.

For instance, U.S. farmers achieve an estimated fourfold return on their pesticide investments. Secondary benefits are long-term effects of pesticide usage, which can sometimes be negative, such as environmental and health costs.

This can include polluted water systems, soil erosion, and adverse health effects on the rural population in developing countries.

The situation described, where individual benefits can lead to wider environmental harm, is an example of a 'primary benefits', where individuals' short-term gains lead to long-term collective losses.