Discussion
Which of the following is not an example of negative externality ?
Answer: B
Vaccination is not a negative externality.
A vaccinated person is less likely to catch and spread a disease, which protects others who were not part of the decision. That third-party benefit makes vaccination a classic example of a positive externality.
Air pollution, contamination of water and crime all impose costs on people who did not choose them, which makes them negative externalities.
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