The market under produces public goods because:
a) Of concerns about equity.
b) People do not want public goods as much as private goods.
c) The government is mandated to produce public goods.
d) People are less willing to pay for public goods than for private goods.
Answer: d) People are less willing to pay for public goods than for private goods.
You might also like to view...
The average duration of unemployment across the labor force is about
A) 25 weeks. B) 15 weeks. C) 8 weeks. D) 4 weeks.
Which of the following statements is true?
a. Money must be divisible and portable. b. Money must be relatively "scarce" if it is to have value. c. M1 is the narrowest definition of money. d. All of the answers are correct.
Public choice theorists say that the greater the number of potential voters in an election, the __________ the perceived benefits of voting held by each voter, and so the __________ the likely percentage turnout of voters
A) greater; lower B) greater; higher C) smaller; lower D) smaller; higher
Suppose that a firm is currently producing 500 units of output. At this level of output, TVC = $10,000 and TFC = $25,000. What is the firms ATC?
A. $100 B. $50 C. $70 D. $20