What Are Three Examples Of Positive Externalities

Three examples of positive externalities and their impact to society include; the construction and operation of an airport in an area. When an airport is newly created in a society, local businesses will eventually benefit from its operations due to increase accessibility.

2) The maintenance of an attractive house by an individual may be beneficial to her neighbors in the form of increased market values for their properties.

3) Houses that have private fire protection services in areas where there are no public fire department turn to provide positive externality to the properties of their neighbors which are less at risk of the protected neighbors fire spreading to houses that are unprotected(Anonymous,(n.d).).

Three examples of negative

externalities and their impact to society include; Air pollution as a result of the burning of fossil fuels by a company. Air pollution from burning fossil fuels causes damages not just to crops but also to buildings as well as public health.

2) Depriving someone's else's sleep as a result of the fact that her neighbor is playing loud music late at night. The deprivation of someone's sleep can have a huge negative effect in their lives as our body eventually needs rest and when we do not have this rest it seriously affect our health.

3) The industrial pollution of water which have effluent. This negative externality does not only harms plant but bit it also harm animals as well as human since there is an ecological chain between these three( animals feed on plants, humans feed on animals. humans also feed on plants as well) (Anonymous,(n.d).).

Some of the actions to help remedy the issues of externalities may include; the implementation of regulations by the government that helps to limit activities that might cause negative externalities such as imposing taxes that equals the value of negative externality. Furthermore, by providing services with positive externalities. Also, by the provision of lawsuits by the government which compensate parties that are affected by negative externalities. In addition, externalities issues can also be resolve by negotiation between the parties causing them and the parties affected by them(Anonymous,(n.d).).