Assume you eat the Big Mac outside in a public park

QUESTION

Assume you eat the Big Mac outside in a public park. You realize that the Big Mac tastes pretty bad. Due to that you get upset. You toss the food on the lawn in the park and walk off. Does your behavior now create an externality? Might there be a justification here for the government to intervene in the market for Big Macs? Briefly explain.

 

ANSWER:

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