Social Sciences
4 years ago

Correcting positive externalities can boost welfare for shellfish farms.

2013 Annual Meeting, August 4-6, 2013, Washington, D.C.
On Positive Externality
Ekaterina Vorotnikova, Andrew Schmitz

Paper Summary

The article explores how correcting positive externalities doesn't always lead to a positive outcome, but it did for a shellfish farm on the West Coast. The researchers looked at cases where the cost to society is different from the cost to the business. They found that in this specific case, fixing the positive externalities benefited the shellfish farm.

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