Economics 9708 · AS & A Level · 7.4

7.4 — practice question

James has fruit trees in his garden. These attract butterflies and bees. Which of these is not an externality of this?

  • ANeighbours may be stung by the bees that pollinate the trees.
  • BNeighbours may buy fruit more cheaply from James than the local supermarket.
  • CNeighbours may enjoy better air quality as the trees naturally improve the atmosphere.
  • DNeighbours may like to watch the activity of the wildlife at no cost.

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