Scenario 11-3 Consider the Following Goods

question 70

Essay

Scenario 11-3
Consider the following goods:
• a fish fillet served at a restaurant
• fish in the ocean
• exotic fish in a huge aquarium in a privately-owned building
-Refer to Scenario 11-3. Do any of these goods cause an externality? If so, which one(s)? Positive or negative? Briefly explain.

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Definitions:

Allison Transmission

A brand name for a series of automatic transmissions for commercial vehicles, known for durability and reliability.

Four-Speed

Refers to a transmission with four forward gear ratios, offering different levels of speed and torque as the vehicle moves.

Governor Pressure

The pressure regulated by a governor device, often in a transmission, to control vehicle speed or engine load.

Road Speed

The velocity at which a vehicle travels on a road, typically measured in miles per hour (mph) or kilometers per hour (kph).