A businessman opened a big leather factory on the banks of a river. The factory earns Rs. 10 crore per year. The wastes are dumped in to the river and the river gets polluted and adversely affects marine life. As a result fishermen loses livelihood this situation is called
(
This question was previously asked in
Shift 09/06/2023 3:30 PM - 6:30 PM
A
Negative externalities
B
Negative internalities
C
Positive externalities
D
Positive internalities
Correct Answer
Negative externalities
Detailed Explanation
The situation described is an example of "Negative externalities."
2.Negative externalities occur when the actions of one party (in this case, the leather factory) have harmful effects on other parties who are not involved in the transaction (in this case, the fishermen and marine life).
3. The pollution from the factory negatively affects the environment and the livelihood of the fishermen, making it a classic case of negative externalities.
Get Dubuddy App
Practice on the go with our mobile app
More CUET Questions
1
Match List - I with List - II.
List - I
List - II
(A) Montreal protocol
(I) Burnining of fossil fuels and deforestation
(B) Greenhouse gases
(II) AUN conference on climate change
(C) Kyoto
(III) Karnataka
(D) Appiko
(IV) Banning the use of chlorofluro carbon
Choose the correct answer from the options given below:
(
2
The value of Nominal Income when Real Income is Rs. 5000 and GDP deflator is 125 percent will
be :
(
3
If the value of net indirect taxes is 140 crores. Which of the following statements correctly depicts it?
(
4
Post 1991 in India, the _________ sector contributes the highest to its gross domestic product.
(
Test Series
CUET Subjects
Your CUET Journey Starts with DuBuddy
CUET ki Practice Means DuBuddy Pe Practice