Sunday, December 09, 2007

Unit 2: Negative externalities associated with diesel vehicles

This BBC article highlights a negative externality that results for vehicles which use diesel

http://news.bbc.co.uk/1/hi/health/7129024.stm

a) What is the negative externality?
b) Why is it a negative externality?
c) What options does the government have to try and overcome/reduce the negative externality?

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