Statement 1: Environmental pollution caused by industrial plants is an example of negative externality
Statement 1: Environmental pollution caused by industrial plants is an example of negative externality.
Statement 2: GDP does not consider negative externality but takes into account positive externality.
Alternatives:
(a) Both the Statements are true
(b) Both the Statements are false
(c) Statement 1 is true and Statement 2 is false
(d) Statement 2 is true and Statement 1 is false
Anurag Pathak Changed status to publish December 10, 2023
Ans – (c)
Explanation:-
Statement 1 is true, environmental pollution caused by industrial plants is an example of negative externality.
Negative Externalities refer to activities that result in harm to others for example pollution caused by vehicles.
Statement 2 is false as GDP does not consider bothnegative and positive externality.
Anurag Pathak Changed status to publish December 10, 2023
