Generate a positive externality and negative externality


Decide whether each of the following events is likely to generate a positive externality, negative externality, or no externality at all. Explain.

a. A barking dog in the backyard
b. A party in a students' dorm room
c. A student reading novel in her apartment
d. A home owner repaints his house
e. A student is inoculated for measles
f. A neighbor accepts a payment of $1000 to allow his neighbor to have an outdoor party with a loud live band

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Microeconomics: Generate a positive externality and negative externality
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