STREET VENDORS EXTERNALITIES

Abstrak

There are externalities as a result of street vendors economic activities. The externalities may
be negatives and may be positives.The method used to collect data through literature and the data
collected is secondary data from reports and research publication. Negative externalities caused
by the street vendors are accessibility of public spaces, garbage, open space inharmony, dirty and
untidy, traffic congestion, pedestrian interference and the possibility of diseases due to lack of
sanitation. Tragedy of the commons happened due to excessive uses of public facilities resulting in
reduced or loss of its function. The Positive externalities are generate jobs, as a distributor,
security, bring the servicecloser to the customers and means of recreation. In the newinstitutional
economic point of view, the government needs to intervene as a governing body to avoid the
tragedy of the commons over excessive use of public resources in the form of an open area which
supposed to be able to be utilised by the society.