Economics A Level: Describe, using Vaccinations as an Example, why, in a Positive [Or Negative] Consumptions Externality Graph, may the Lines Diverge?

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Describe, using Vaccinations as an Example, why, in a Positive [Or Negative] Consumptions Externality Graph, may the Lines Diverge?

go kys · Accepted Answer

-If MPB and MSB Diverge then the External Benefit per Unit will get Larger and Larger as Outcome Expands
-Vaccination can be 1 Reason why. More People that are Vaccinated, More Protection for the Unvaccinated.

Economics A Level

Describe, using Vaccinations as an Example, why, in a Positive [Or Negative] Consumptions Externality Graph, may the Lines Diverge?

-If MPB and MSB Diverge then the External Benefit per Unit will get Larger and Larger as Outcome Expands -Vaccination can be 1 Reason why. More People that are Vaccinated, More Protection for the Unvaccinated.

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