Quick fire questions
1. State the cause of externalities
2. What are negative externalities?
3. How can urban blight create a negative impact on the environment?
4. State at least three examples of external benefits
5. Where MSC is greater than MPC are negative or positive externalities occuring?
6. If positive externalities exist what is likely to happen to the production of a product?
7. How can you evaluate the value of externalities?
8. What are the steps that you follow for cost benefit analysis?
9. What are public goods?
10. State two characteristics of pure public goods
11. Why do private businesses not supply public goods?
12. State three characteristics of private goods
13. What are the characteristics of merit goods?
14. Why do governments step in to produce merit goods?
15. Give an example of a demerit good
