Advances in Economics and Business Vol. 5(10), pp. 568 - 573
DOI: 10.13189/aeb.2017.051005
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A Concise Note on Risk Externalities: A Critical Review


Emmanuel Senyo Fianu *
Faculty of Economics and Business, Leuphana University of L√ľneburg, Germany

ABSTRACT

This paper provides a review of the (risk) externality literature with the aim of identifying risk externalities arising from various interactions in the economics of environmental protection. In addition, various classification of externalities that exist have been explored. It highlights how such externalities might depend on the characteristics of economic interactions coupled with their impacts. The findings of this paper show that risk externalities result from risk mitigation and reduction activities, thereby, having varying degrees of impacts, and inducing inefficiency in economic systems. In addition, empirical investigations in the context of (risk) externalities have been provided.

KEYWORDS
(Risk) Externalities, Valuation Methods, Regulations

Cite this paper
Emmanuel Senyo Fianu . "A Concise Note on Risk Externalities: A Critical Review." Advances in Economics and Business 5.10 (2017) 568 - 573. doi: 10.13189/aeb.2017.051005.