External benefits
What External benefits means in Economics B A-Level, as defined for Pearson Edexcel.
Definitions of External benefits
Exam boards and our study guides word this term in slightly different ways. Learn the version your board uses.
Check what you remember
Read the wording for your board, then hide it and explain External benefits in your own words. Rough notes are fine. This is a self-check, with no mark or grade.
Reference: Pearson Edexcel
The positive spillover effects experienced by third parties not directly involved in the transaction.
Positive spillovers to third parties, like a more productive workforce.
Topics that use External benefits
- Externalities (Pearson Edexcel A-Level)
- Market failure and externalities (Pearson Edexcel A-Level)
Related terms
- External costs
- Market failure
- Social costs
- Externalities
- Government intervention
- Private benefits
- Resource allocation
- Resource misallocation
Using External benefits in the exam
Check the command word and mark scheme for your exact question. After comparing your explanation with the reference, use the term in an answer on the linked topic. This practice does not predict an exam mark.
Practise Economics B questions
Create a free account to answer exam-style questions on this topic and get feedback on your answers.
A week of Premium from your first lesson · Then the free plan continues · No card, no charge