Respuesta :
A consequence of negative externality is that social costs are greater than private costs and the socially optimal level output is less than.
If services are good have negative externalities then we will get market failure.because peoples fail in to take the costs to other people. To achieve socially more efficient outcomes then government try to tax the good with wrong externalities.
Negative is when , the cost spills over to third party.Negative externalities commonly affect resources where it is difficult to hold parties in environmental pollution. private market lead to overproduction of goods with negative and positive externalities. It is add external cost to private costs.
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