What are the inefficiencies related to a positive externality? Explain with the help of a diagram.

A positive externality occurs when an individual or firm’s action benefits others who are not directly involved in the transaction. However, despite the societal benefits, the market may fail to reach an efficient outcome. The inefficiencies stem from the fact that the private market only accounts for the marginal private ___ __________ ___ ___ _________ _______ ___ __________ ___ _______ _________.
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