Assignment 2

Topics: Externality, Pollution, Tragedy of the commons Pages: 2 (484 words) Published: February 27, 2013
gff Assignment 2 Name: Qi Zeng
Negative externalities to third parties outside the original two parties

Port expansion has been seen as the origin of negative externalities affecting local residents well being and contributing to the poor public image of ports. Port pollution is the quintessential negative externality on this situation, you can see a lot of oil on the sea near the port, since the costs of pollution are felt by everyone and not just those who are producing and consuming the products that are causing the pollution. Shipping has various effects on the environment of which emissions to air are the focus of this study. The ship-originated air emissions are generally formed by diesel engines and burning of fossil fuels. As the number of passengers are cruise travel more and more, will be serious influence taxi and other ground passenger way, such like railway, bus, and air transportation. The Tallinn port fast expansion will lead to increase their entertainment, service industry near the port, although this will lead to the economic development around the port. But other parts of the competitiveness are smaller. For smaller ports, due to its berth few, combined with the randomness of the ship to thePort, the small port higher berth utilization often means that port congestion danger. Fewer more berths are occupied, each vessel may cast the number of equipment and labor, and the average service time is longer, so that the loading and unloading efficiency decline.Portsize larger more berths, berth substitutability between the high utilization of berths will not necessarily bring port congestion.

Positive externalities to third parties outside the original two parties

The rapid expansion of the Tallinn port will stimulate the economic around the ports driven by a range of service industries, such as catering, entertainment and accommodation. With the increasing number of travelers, the number of various cruise ships will...
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