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An externality constitutes a market failure.An example of an negative externality is air pollution from power-generating facilities (e.g., coal-fired power plant). Identify and explain two
An externality constitutes a market failure.An example of an "negative" externality is air pollution from power-generating facilities (e.g., coal-fired power plant). Identify and explain two market-based solutions that would help to mitigate negative externalities, like air pollution?How would government, if at all, need to play a role in pollution abatement?
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