This preview shows page 1. Sign up to view the full content.
Unformatted text preview: 4. Which is an example of a positive externality? A neighbor's dog who likes to bark and run in your yard, A sewage treatment plant that emits strong odors, A flood control dam that provides a recreational lake, A parking garage next to a public library. 5. Public goods are defined by the two characteristics of: Nonrivalry and nonexcludability, Double taxation and limited liability, Spillover benefit and spillover cost, The free-rider problem and the principal-agent problem. 6....
View Full Document
- Fall '11