Insights

Oftentimes when at the store, you notice that the products labelled as organic or fair trade cost much more than the regular ones. Why is that? Sapling rising from glass cup of pennies One of the primary reasons that environmentally-friendly goods are more costly is their inclusion of negative externalities into the total price. A negative externality is an unintended consequence of an economic activity on the environment that proves to be bad. For example, if a farm makes go