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Market Failure and Government Intervention · Spring Term

Positive Externalities in Production and Consumption

Students identify the impact of third-party benefits from production and consumption activities.

Key Questions

  1. Analyze how positive externalities lead to underproduction or underconsumption.
  2. Explain the divergence between private and social benefits in the presence of externalities.
  3. Evaluate the societal benefits of goods with significant positive externalities.

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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