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What Is an Externality? Why Do They Exist

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What is an externality? Why do they exist?


Definitions:

Rewards

Benefits, compensation, or other forms of acknowledgment provided to individuals or organizations as recognition of their accomplishments or desired behavior.

Schedule of Reinforcement

A schedule of reinforcement is the pattern and timing of rewards or punishments that influence the learning and behavior of individuals.

Volunteerism

The practice of offering one's time or talents for charitable, educational, or other worthwhile activities, especially in one's community, without financial compensation.

Customer Service

The assistance and service provided to customers before, during, and after purchasing and using goods or services.

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