An externality arises when a rm or person engages in an activity that affects the wellbeing of a third party, yet neither pays nor receives any compensation for that eFfect. If the impact on the third party is adversef it is called a V extemality. The following graph shows the demand and supply curves for a good with this type of externality. The dashed drop lines on the graph reect the market equilibrium price and quantity for this good. Adjust one or both of the curves to reect the presence of the extemaiity. If the social cost of producing the good is not equal to the private cost, then you should drag the supply curve to reflect the social costs of producing the good; similarly, if the social value of producing the good is not equal to the private value, then you should drag the demand curve to reect the social value of consuming the good. (\"D 0 Suppl Demand I:| TE. .5 Supply III. E _ _ _ _ _ _ _ _ -+ 3 I 9. LIJ I Q l E I I menu I l l I I QUANTITY (Units) With this type of externality, in the absence of government intervention, the market equilibrium quantity produced will be V than the socially optimal quantity. Which of the following generate the type of externality previously described? Check all that apply. Cl Yakov has planted several trees in his backyard that increase the beauty of the neighborhood, especially during the fall foliage season. D The local airport has doubled the number of runways, causing additional noise pollution for the surrounding residents. D A leading electronics manufacturer has discovered a new technology that dramatically improves the picture quality of plasma televisions. Firms of all brands have free access to this technology. El Your roommate Charles has bought a bird that keeps you up at night with its chirping