Today we will begin our study of market failure by analyzing markets in which negative and positive externalities occur. You should read the text chapter identified below in the homework section and watch the related videos for help in understanding this material. Use the table of contents on the right to help you navigate.
Read Thomas booklet (Pages 177-192).
Watch these videos.
AC/DC Economics
Khan Academy
Problem of the Day: Not today!
Lecture: Public Goods, Common Resources, and Externalities
TED Talks
Timothy Bartik: The economic case for preschool (positive externalities)
Related Readings