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Shsks Shdhxus
on Nov 17, 2024

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When firms internalize a negative externality, the market supply curve shifts to the left.

Internalize

The process by which a company takes into account the external costs (or benefits) of its activities, usually environmental, by incorporating them into its business decisions and cost structures.

Market Supply Curve

A graphical representation of the relationship between the price of a good or service and the amount of it that suppliers are willing to offer for sale at any given price level.

  • Acquire insight into the methods employed to internalize externalities to rectify market results.
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JH
Joevanni HaddadNov 22, 2024
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