can I get some help on responding to this post.

An externality is a negative impact on third parties as a result of an industrial or commercial operation that is not reflected in the price of the goods or services involved. A great example of an externality would be the Keystone Pipeline. The Keystone Pipeline was headline news a few years ago when thousands of barrels of oil spilled. There were many environmental concerns dealing with the Keystone Pipeline. Concerns about the environment include increase in carbon emissions, air pollution, leaks, and spills that could contaminate vital water supplies and endanger birds and other species. The Keystone Pipeline was controversial also because it crossed over indigenous land, polluting indigenous land and water resources. It was projected to bring over 3 billion dollars in revenue. However, the effects the pipeline had on indigenous culture, the wildlife, water supplies. and land resources heavily outweighed the profits. One policy that could solve high greenhouse gas emissions would be to give tax credits to everyone who buys an electric-powered vehicle or has switched over from a gas to an electric-powered vehicle. Rewarding people to promote cleaner energy not only puts more money in peoples pocket-especially helpful in today's economy-but reduces the carbon-based fossil fuel industry as well. I would define moral hazard as an excuse to be reckless since the costs will be borne by someone else. I have seen many examples of moral hazard in my lifetime. Managers on salary leave early at my job all of the time. l have lent people my car, who put miles and miles on it without ever filling my tank up, even going through tolls. If you really want to witness moral hazards, observe anyone who just put in a two-weeks notice at a job. When sellers and/or purchasers are privy to knowledge regarding a particular component of a product's quality, this is adverse selection. I feel the best example would be a credit score. Banks and other lenders take your credit score into account when applying for things such as a mortgage or car. A credit score is a test of your character and how much of a risk you are. The riskier you are, the more insurance your lender wants, resulting in higher interest rates. In a nutshell, moral hazard is a commitment that is followed by risky behavior, while adverse selection is being aware of such risky behavior prior to any commitment