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Improved health and education of the people in a country entails
Positive externality
Negative externality
Both a) and b)
None of the above
- Improved health and education often create benefits beyond the individuals directly involved.
- These benefits, like a healthier workforce or improved societal knowledge, positively impact the economy and society.
- Positive externality occurs when third parties benefit from a transaction or activity they are not directly involved in.
- Negative externality, conversely, involves third parties suffering owing to someone else's actions.
- Both a) and b) would mean there are simultaneous benefits and harms to third parties.
- None of the above implies neither positive nor negative externalities occur.
Correct Answer: Option 1 - Positive externality
By: santosh ProfileResourcesReport error
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