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1. Petrol (or gas as called in the US) is used to fuel cars, it has many benefits on a small scale from transporting people, to large scale transportation of goods and products and promoting trade. The primary effect of petrol use is energy, that is used to move vehicles, etc.

However, when petrol is used, there are various externalities (which are effects that were not the primary intention of use of the product) , one of which is carbon dioxide. This is an unintended effect of petrol use (externalities) and carbon dioxide has negative effects, therefore it is a negative externality.

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Q: What are Examples of negatives externalities?
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