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Market Failure and Government Intervention · Spring Term

Negative Externalities in Production

Students identify the impact of third-party costs from production activities.

Key Questions

  1. Analyze how negative externalities in production lead to overproduction.
  2. Explain the divergence between private and social costs in the presence of production externalities.
  3. Evaluate the challenges of internalizing external costs from production.

National Curriculum Attainment Targets

A-Level: Economics - Market FailureA-Level: Economics - Positive and Negative Externalities
Year: Year 12
Subject: Economics
Unit: Market Failure and Government Intervention
Period: Spring Term

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