Explain why environmental damage would be classified as an externality
An externality is an incidental consequence of some economic activity. In the case of environmental pollution, the effect is not necessarily intended. Rather, production or consumption results in a residual of some sort that pollutes. Examples are auto emissions, domestic sewage, and sulfur dioxide emissions from burning coal to generate electricity or refine minerals. The unintended "leftover" is the pollution in the form of an externality.
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A nation has a comparative advantage in the production of cars over another nation if: a. it can produce cars with fewer resources than the other country
b. it can produce cars at a lower opportunity cost than the other country. c. it can produce cars at a higher opportunity cost than the other country. d. it can produce cars at the same opportunity cost and its consumers have a stronger preference for cars than consumers in the other country.
When a bank sells capital stock (equity shares) in return for cash:
A. The capital stock increases the assets side and the cash increases the liabilities side B. The capital stock decreases the liabilities and the cash increases the assets side C. The capital stock increases the net worth and the cash increases the liabilities D. The capital stock increases the net worth and the cash increases the assets side