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ID number:613066
 
Evaluation:
Published: 01.12.1996.
Language: English
Level: Secondary school
Literature: n/a
References: Not used
Extract

Pollution can be defined as the 'harm or damage done to animals/plants and their ecosystems' . Pollution is an externality, the effects of which the costs and benefits are not fully reflected in potential or actual market exchanges. Since no-one owns the atmosphere, there is no market in it and therefore no market price for clean air etc. This means that firms have no incentive not to pollute. This means that forces outside the market must be used in order to ensure the socially optimum level of pollution. In this essay, I will first be tackling what the socially optimum level of poll…

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