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The balancing approach to reasonableness:
Pollution
The introduction of contaminants into the natural environment that cause adverse change.
External Costs
Costs that are not reflected in the market price of goods or services, often burdening third parties not involved in the transaction.
External Benefits
Positive effects of a production or consumption activity on third parties not directly involved in the transaction.
Property Rights
Legal rights that delineate the ownership and use of property, including rights to use, sell, rent, mortgage, transfer, and destroy the property.
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