Saturday, April 12, 2008

Unit 2: Negative externalities asociated with economic growth: Plastic

This BBC clip shows the impact of rubbish, in this case plastic, on the environment

http://news.bbc.co.uk/1/hi/sci/tech/7339737.stm

a) Why is this plastic waste an example of the market failing as a good with negative externalities?
b) What actions has/could the govt take to reduce the market failure?

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