(See Solution) (2 marks) Using these results, or otherwise, comment on the optimality of free trade when there is a positive consumption externality only
Question: (2 marks) Using these results, or otherwise, comment on the optimality of free trade when there is a positive consumption externality only (1 mark) or a positive production externality only (1 mark). (something is 'optimal' if it increases welfare).
Deliverable: Word Document 
![[All Steps] We received a ferry message](/images/solutions/MC-solution-library-76090.jpg "[All Steps] We received a ferry message on the radio that says:")
[All Steps] We received a ferry message on the radio that says:
![[Step-by-Step] A car drives at 30 m](/images/solutions/MC-solution-library-76091.jpg "[Step-by-Step] A car drives at 30 m / s when it encounters a cow")
[Step-by-Step] A car drives at 30 m / s when it encounters a cow
![[Solution] A car drives on a highway](/images/solutions/MC-solution-library-76092.jpg "[Solution] A car drives on a highway at 180 km / h. Passing a")
[Solution] A car drives on a highway at 180 km / h. Passing a
![[Solution Library] Compute the derivative of the](/images/solutions/MC-solution-library-76093.jpg "[Solution Library] Compute the derivative of the following function.")
[Solution Library] Compute the derivative of the following function.
![[Step-by-Step] Compute the derivative of the following](/images/solutions/MC-solution-library-76094.jpg "[Step-by-Step] Compute the derivative of the following function. Use your")
[Step-by-Step] Compute the derivative of the following function. Use your
Feet to Miles Conversion - Step by Step Calculator - Mathcracker.com