Determine the external cost of the dump


Suppose two neighborhoods with 10 homes each in Buffalo, New York are identical except one of them is near a toxic waste dump. If homes near the dump sell for an average of $40,000 and the other homes sell for $90,000, the external cost of the dump is

a. 90,000
b 1,300,000
c. 400,000
d. 900,000
e. 500,000

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Microeconomics: Determine the external cost of the dump
Reference No:- TGS074371

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