Max owns a store in a local shopping mall. A public building project reroutes the freeway away from the mall, resulting in fewer people coming to the mall and Max's store. This is an example of a negative externality.
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rkenya0519 rkenya0519

24-05-2022
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Max owns a store in a local shopping mall. A public building project reroutes the freeway away from the mall, resulting in fewer people coming to the mall and Max's store. This is an example of a negative externality.
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jayilych4real jayilych4real · Answer 1 · 2022-05-27T13:13:50+02:00

Based on the given scenario, we can say that this is an example of a negative externality.

What is Negative Externality?

This refers to the business model where the production of a thing comes at a cost to a third party.

Hence, we can see that from the given scenario, there is a description of the building project and how it affects the owner of a store that loses customers because it reroutes traffic from the mall.

Read more about negative externality here:

https://brainly.com/question/1362529

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Max owns a store in a local shopping mall. A public building project reroutes the freeway away from the mall, resulting in fewer people coming to the mall and Max's store. This is an example of a negative externality.truefalse

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What is Negative Externality?

Otras preguntas

Max owns a store in a local shopping mall. A public building project reroutes the freeway away from the mall, resulting in fewer people coming to the mall and Max's store. This is an example of a negative externality.
true
false