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QUESTION

which of the following is true of a negative externality?

  1. which of the following is true of a negative externality?

a. some costs are borne by a third party---

b.its existence always require corrective measures by the government

c. the government must take over the production of this good so that the externality can be internalized

d. the government can use subsidies to encourage firms to internalize the externality**

e. some benefits accrue to a third party.

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