Question

Suppose that a commercial apple orchard uses pesticides in the production of apples. in the process, dangerous fumes drift across a nearby neighborhood. 16. is this an example of a positive or a negative externality? why?

Answer 1

This is a negative externality.  An externality is a cost to someone who didn't want to have to deal with the cost, so the neighborhood doesn't want to have to deal with the fumes.