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>The positive value is from goods shipped. It's not from goods shipped with gasoline. When goods & people are shipped with gasoline, it is producing that exter
by s1artibartfast 2y ago
>The positive value is from goods shipped. It's not from goods shipped with gasoline.
When goods & people are shipped with gasoline, it is producing that external value. When I drive to the super market to buy groceries, the grocery store receives 2nd order value (aka externality).
The fact that alternative modes of transportation exist does not negate the fact that the positive externality exists. Externalities are not defined using comparative analysis.
Lets say you move to EVs or whatever, those too will have externalities. The composition of those externalities may be different than gasoline, as factors are internalized and excluded to the costs paid.