externality in a sentence
n.
📚 Grade Level: Grade 10, Grade 11, Grade 12
Definition
Externality refers to a consequence of an economic activity that affects third parties who did not choose to be involved, which can be either positive or negative.
Crossword clues for externality
Crossword clue ideas and answer hints for the word "externality".
- Unintended impact of economic actions on outsiders.
- Side effect of a transaction affecting others.
- Cost or benefit impacting those not involved.
- Consequences of actions felt by unrelated parties.
- Influence on third parties from economic decisions.
Externality sentence examples
- The factory's pollution created a negative externality that affected the health of nearby residents.
- Economists often discuss how positive externalities, like education, benefit society as a whole.
- Understanding externalities is crucial for creating effective environmental policies.
- The rise of electric vehicles is seen as a way to reduce the negative externalities of traditional gasoline cars.
- When assessing public projects, planners must consider the potential externalities they may generate.