Please answer the following questions. (Total 20') (1) Please provide two firms in the real economy that generate negati

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answerhappygod
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Please answer the following questions. (Total 20') (1) Please provide two firms in the real economy that generate negati

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Please answer the following questions. (Total 20')
(1) Please provide two firms in the real economy that generate
negative and positive externalities respectively. (4’)
(2) Explain why these firms generate negative or positive
externalities. (8’)
(3) Explain how to make sure each firm will produce at the
socially optimal points. (8’)
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