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From course:

Economics A Level

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Question:

Describe, using Pollution as an Example, why, in a Negative [Or Positive] Production Externality Graph, may the Lines Diverge?

Author: go kys



Answer:

-If the Lines Diverge then the External Costs per Unit gets Larger and Larger as Output Increases -Pollution may explain 1 Reason why - External Costs per Units created via Pollution may Increase as Output [More Pollution] Increases


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go kys
go kys