Final answer:
Employee first-aid training results in a positive externality, as it not only improves safety at work but also has the potential to save lives outside of work, benefiting people who are not involved in the transaction of the training.
Step-by-step explanation:
Training employees in first-aid is an example of a positive externality, not a negative one. Externalities are effects of a transaction that affect third parties who are not involved in the transaction. Training in first-aid provides both health and safety benefits at the workplace, and these benefits can extend outside of the workplace as well, such as by enabling employees to provide first-aid in situations unrelated to their job. This training could potentially save lives, which is a positive impact on society as a whole.
Similar to other examples of positive externalities like vaccinations or neighborhood improvements, first-aid training leads to a spillover effect where the benefits are experienced by those beyond just the entity that paid for the training. Just like those who live in a neighborhood benefit from the increased property values due to home improvements, society benefits from having more individuals capable of providing first-aid.