这个问题如何理解

问题如下：

With respect to an infrastructure asset, which of the following best describes the impact of an externality? A reduction in profitability resulting from:

选项：

A.rising temperatures

B.higher fossil fuel prices

C.local community protests

解释：

C is correct because externalities are caused by the operation of the asset. Issues may be caused by the asset itself and impact its surrounding environment and communities (such as water effluence and the quality of life of the communities around it). These are called ‘externalities’ which can (and will) increasingly impact the asset’s financial performance via various feedback loops (including protests of the surrounding community).

A and B are incorrect because externalities are caused by the operation of the asset, as opposed to issues originating outside the asset, such as higher fossil fuel prices. Some environmental issues may originate outside the asset but could impact its technical ability to operate or impact its profitability (for instance, temperature rise and increased water scarcity). Other issues may be caused by the asset itself and impact its surrounding environment and communities (such as water effluence and the quality of life of the communities around it). In this latter case, these are called ‘externalities’.