00:01
Once again, welcome to new problem.
00:04
This time we're dealing with externalities.
00:08
So think about externalities.
00:10
And so we can either have positive or negative externalities.
00:17
We can have positive or negative externalities.
00:25
And positive externalities assume from an economic point of view.
00:31
You that you have valuable, i want to call them valuable spillovers, valuable spillovers.
00:42
And negative externalities would mean that we have detrimental spillovers.
00:56
For example, in the case of valuable spillover, if you build a school or you build a commercial center, then you're going to have increased employment.
01:18
It's possible to have increased employment and therefore extra taxes coming from the base.
01:26
Detrimental spillovers are things like pollution where if you build a manufacturing plant.
01:37
So if you build a manufacturing plant, this is what's going to happen.
01:42
It's a detrimental spillover.
01:45
And so we do have a problem where we have a neighborhood.
01:52
We have a neighborhood and assume that you clean up.
02:02
And keep the neighborhood clear and neat.
02:22
The result of this is positive spillovers.
02:31
The result of this is positive spillovers.
02:34
For example, you could have increased property values.
02:42
You could have increased property values...
