Externality At The Mall Research Paper

An externality is the side effect on an action based on economic incentive. It can be related to the production or consumption of a product. Some externalities can be positive, but the government works to ensure that any negative effects are minimal. If mall was built near my home, there would be positive and negative externalities. A positive externality would be that I wouldn't need to go to it by car or by any other vehicle that pollute the environment. Another positive externality would that I wouldn't have to spend any money to go there. A negative externality would be that as it is near my house, I could go any time I want to, and going to the mall can be a temptation to buy anything. Taxes has a significant participation in a consumer's