How can government intervention effectively address negative externalities in consumption?

Government intervention can help reduce negative externalities in consumption by making people consider the broader impact of their choices. For example, when people smoke in public places, it can harm others through secondhand smoke. To address this, the government can impose taxes on cigarettes, which raises their price and may discourage smoking. Additionally, the government can create laws to limit where smoking is allowed, protecting non-smokers from harmful effects. By using these strategies, the government encourages healthier behaviors and reduces the negative effects on society.