Why Would a Negative Externality Create an Inefficient Overproduction

question 14

Essay

Why would a negative externality create an inefficient overproduction?

---

Definitions:

Proportion

The ratio of a part to the whole, often expressed as a fraction, decimal, or percentage.

Symmetric

Describes a shape or distribution that is mirrored evenly around its central point.

Central Location

A statistical term referring to the center or typical value of a distribution, often measured by the mean, median, or mode.

Ordinal

Relating to an order or sequence; typically referring to data that can be ranked but the intervals between values are not uniform.