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4 Please answer the following questions. (Total 20') (1) Please provide two firms in the real economy that generate negative and positive externalities respectively. (4')
4 Please answer the following questions. (Total 20') (1) Please provide two firms in the real economy that generate negative and positive externalities respectively. (4') (2) Explain why these firms generate negative or positive externalities. (8') (3) Explain how to make sure each firm will produce at the socially optimal points. (8') (20.0$))
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