My point is that the byproducts of production *are* liabilities, and as such, they cannot be "freely ignored."

Just as it's your responsibility and no one else's to clean up after yourself when you make a mess (the byproducts of whatever you're doing), it is the entrepreneurs' responsibility to deal with the byproducts of products. In fact, as Prof. Ellerman will happily point out, under our economic system, since the entrepreneurs' have 100% of the discretionary control rights over production, they are only entitled to the finished product once they assume 100% of the responsibility over production, and therefore have *swallowed* 100% of the liabilities of production (including those byproducts that are produced) as well as own or have direct contractual control over 100% of the assets of production.

An entrepreneur may wish to ignore byproducts of production and 'freely dispose of it' (for instance, hot coals fall off a working train and catch fire to a farmer's field), but the courts would not be swayed by the standard economic appeal that the entrepreneur may 'freely dispose' the byproducts of production and will assign the liability to the entrepreneur.