Market Failure: Externalities
Introduction to market failure, focusing on positive and negative externalities in production and consumption, and their welfare implications.
Key Questions
- Analyze how negative externalities lead to overproduction in a free market.
- Explain the difference between private and social costs/benefits.
- Evaluate the effectiveness of different government interventions to correct for externalities.
National Curriculum Attainment Targets
Suggested Methodologies
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