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Does the transaction of a buyer and seller directly affect a thrid party? Is the effect a negative or positive exterality?

2007-02-26 02:36:20 · 3 answers · asked by doughboy0022000 2 in Social Science Economics

3 answers

This is a pretty open question.
It will affect all suppliers to the seller of the product. A purchase will mean more demand for their products. It will also affect all competitors of the product as it means the the buyer did not buy their products.

2007-02-26 02:44:01 · answer #1 · answered by MSDC 4 · 0 0

i don't be responsive to of any advantageous ones; there are limitless adverse ones. aside from the noxious refineries themselves, there are: * the impacts of the pipelines and tankers (spills, etc.) the two those bringing crude oil to the refineries and those taking gas away. * the poisoning of a lot of human beings by utilising including bring about make extra value-effective gas artwork in vehicle engines (now prohibited, however the prohibition became into fought by utilising the refiners for some years) * the environmental impression of each and every of the specific catalysts mandatory for the refining technique. * the political and social pressures that the marketplace has promoted to inspire using extra gas (think of lobbying and bribing government officers; deceptive advert campaigns; etc.) Max V became into incorrect in observe that mass transit is a favorable externality. there have been horse drawn buses and electric powered streetcars or perhaps cable autos long till now gas became into available.

2016-10-02 00:34:29 · answer #2 · answered by ? 4 · 0 0

no, not directly.
there might be some indirect effect from producing or consuming the good, which could be positive (your nice lawn improved property values on the block) or negative (your loud music does the opposite)

2007-02-26 07:52:51 · answer #3 · answered by Anonymous · 0 0

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