The production & consumption of fast food meals damages the environment and human health, harming people who neither produced nor consumed them. Suppose that people outside the fast food market experience $2.50 in damage per meal.

a. Show on the graph and explain verbally why and how the fast food market fails.Be exact about what is wrong with the market price and quantity.

b. Offer one reasonable approach the government to take to improve resource allocation in the fast food market.