| Steven M. Reff Economics Lecturer University of Arizona (2007 - 2016) The 2015 University of Arizona Five-Star Faculty Award |
| Externalities 2022 |
The two lessons below were written in 2004 and cover the topics of Negative Externality
and Positive Externality.
and Positive Externality.
In this first lesson below, most of this lesson covers the topic of air pollution which is a
negative PRODUCTION externality because it deals with air pollution produced by firms.
negative PRODUCTION externality because it deals with air pollution produced by firms.
In this second lesson below, most of this lesson covers the topic of education which is
a positive CONSUMPTION externality because it deals with students who are the
consumers of education.
a positive CONSUMPTION externality because it deals with students who are the
consumers of education.
In the next part of this lesson on externalities you will learn there are TWO subcategories
of Negative Externalities and TWO subcategories of Positive Externalities.
of Negative Externalities and TWO subcategories of Positive Externalities.
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On the interactive activity below, drag the terms inside the yellow rectangles into the correct
column's green rectangles.
column's green rectangles.
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Below are four lessons covering the concepts of negative PRODUCTION externality, negative
CONSUMPTION externality, positive CONSUMPTION externality, and positive PRODUCTION
externality. Each lesson has a short video with interactive questions underneath the video that
relate to the graph on the right.
CONSUMPTION externality, positive CONSUMPTION externality, and positive PRODUCTION
externality. Each lesson has a short video with interactive questions underneath the video that
relate to the graph on the right.
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Negative PRODUCTION Externality
Negative CONSUMPTION Externality
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Positive CONSUMPTION Externality
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Positive PRODUCTION Externality
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