a positive externality arises when a person engages in an activity that has

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11-05-2018
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a positive externality arises when a person engages in an activity that has

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MrsTriplet MrsTriplet · Answer 1 · 2018-05-21T21:03:30+02:00

A positive externality arises when a person engages in an activity that has a beneficial effect on a bystander who does not pay the person who causes the effect. A positive externality is something that benefits someone who didn't produce or consumer the good. A good way to remember a positive externality is a third party who wasn't initially related to the exchange of a good or service but still benefited from it happening.