A technology company pays for research into a more efficient method of recycling metal. It publishes its findings, which other manufacturers can use without paying the company.
Explain why this may lead to too little research being carried out.
127 exam-style questions on OCR GCSE Economics 3.8 Limitations of markets, covering 3.8.1 Positive and negative externalities, 3.8.2 Policies to correct externalities, 3.8.3 Impact of externality policies, and 3.8.4 Costs and benefits of externality policies. Each one has a worked solution and a mark scheme showing where the marks go.