Question 1
Air pollution generated by a steel mill is an example of
◦ a positive production externality.
◦ a negative production externality.
◦ a public good.
◦ the free-rider problem.
Question 2
A well-maintained house and yard is an example of
◦ a positive externality.
◦ a negative externality.
◦ a public good.
◦ logrolling.