Positive And Negative Externality

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Externalities impacts us day by day and also people are taking part in some of them. Everyone is responsible for pollution, people are affected by smoker's ash, but also it has attracted economics point of view. Generally, externalities are affecting people by buying and selling. It is divided into positive and negative. First one has a good effect on the market and people and the last one is making a bad reaction. Positive externality has a good effect on the market and people. It’s providing benefits that are received by individuals who are not involved in the production and sometimes benefits to others who do not have to pay for them. Negative externality occurs when the consumption or production of a good causes a harmful effect to a…show more content…
According to Blinov’s (2016) report, the quantity of people who are buying an alcohol in Ukraine has decreased by 17%. This way of reducing a problem is successful because a number of consumers has went down that can impact a loud parties generally. But it is not still fully connected to parties and also loud party can include in itself other externalities, such as drugs and smoking cigarettes. Image of Government’s work looks productive, but it is not enough for eradication of loud parties and even not enough for suppression of…show more content…
Main influence is situated in human factor and workforce. Factor’s importance has been expressed in moral condition that leads to decreased productivity and shift in demand inside as a result. Future workforce can be founded decreased as a labor factory and even substituted to technologies because of alcohol impacts as a reason, which is included in a group that loud party is creating. Provided statistics shows a decrease in demand curve, that is a good point, but numbers are still alive and a problem cannot be fully reduced. The Government tries to solve the problem via using taxes and a state about loud voices, music and other devices in specific time. But it isn’t enough for solving. As another option of reducing can become encouraging. Providing of “own” parties, such as concerts and improved clubs, are able to give an opportunity to The Government to take control over bad externality. But loud party will never reduced absolutely, because next year coming it is becomes a favorite time spending for teenagers and they will always find a way to do it, if they will

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