A new bakery opens downtown. Which circumstance would most likely be a negative externality?

Customers of the old bakery see a drop in prices.

Neighboring stores get more foot traffic.

The city government collects added tax revenue.

The old bakery down the street loses some customers.

Question

A new bakery opens downtown. Which circumstance would most likely be a negative externality?

Customers of the old bakery see a drop in prices.

Neighboring stores get more foot traffic.

The city government collects added tax revenue.

The old bakery down the street loses some customers.

anonymous · Answer

well which one of these sucks? thats basically what a negative externality is