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1. The production of many of the goods the United States imports from Mexico causes pollution within Mexico. Is this extra pollution fair to the Mexican people?

2. When firms in Mexico cause pollution that crosses the border, U.S. residents along the border are damaged. That pollution is an external cost, since the US residents have no way to extract payment for damage from the Mexican polluters. What policies should the US pursue to reduce this pollution?

Microeconomics, Economics

  • Category:- Microeconomics
  • Reference No.:- M91229822

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