Assignment 2: Externalities
Due Week 6 and worth 140 points
Write a two to three (2-3) page paper in which you:
1. Identify and discuss three (3) externalities, which can either be positive or negative.
2. Conclude why an externality might exist in the situation that you described, and determine the solutions to mitigate these particular externalities.
3. Analyze the different stakeholders (i.e., government, three (3) affected parties) that are involved in the externality, and identify what their roles are with regard to the externality.
Your assignment must follow these formatting requirements:
• Be typed, double spaced, using Times New Roman font (size 12), with one-inch margins on all sides; citations and references must follow APA or school-specific format. Check with your professor for any additional instructions.
• Include a cover page containing the title of the assignment, the student’s name, the professor’s name, the course title, and the date. The cover page and the reference page are not included in the required assignment page length.
The specific course learning outcomes associated with this assignment are:
• Use economic analysis to describe the social costs and benefits of government and public policy choices.
• Analyze the relationship between economic activity and the resources available in a society.
• Use technology and information resources to research economic problems and issues.
• Write clearly and concisely about economic problems and issues using proper writing mechanics.
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