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Write a post describing a real-world example of a negativeexternality. Be specific about the difference between the private and social cost associated with the activity

Write a post describing a real-world example of a negativeexternality.

  • Be specific about the difference between the private and social cost associated with the activity that creates theexternality.
  • Describe how the difference between social and private costs impacts the amount of the good/activity provided in equilibrium.
  • Relative to the social optimum, is there too much or too little of the good provided in equilibrium?
  • Provide your best guess of the size of theexternality(in terms of dollars)?
  • How can the government "fix" the problem created by theexternality(achieve the social optimum in equilibrium)?

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