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4. Describe whether the following activities result in any positive or negative externalities. Indicate whether the externality is positive or negative and describe in a sentence why it's an externality (who bears the costs and who bears the consequences). a. You ask a question in class b. Your roommate hosts a party at your house the night before you have an Test c. A driver runs a red light at a busy intersection d. New Hampshire (or another nearby state) increases the tax rate on alcohol, compared to what it is in Massachusetts