Hunter Kenworthy Market failures

Hunter Kenworthy Market failures

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  • One morning my mother and I went for a morning walk.
  • We sat on a bench to take a break, A teenager was standing by the light pole on the corner.
  • As the teenager started to walk towards us he lit a cig!
  • He ended up sitting next to us, as he smoked the cig.. Mom was worried about the second hand smoke.
  • So we started back home, and mom told me that was something called a negative externalities.. I asked what that was!
  • She said, Its a situation that results in a COST for a different person other then the original decision maker.
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