A public good is:
a. a good or service for which it is relatively easy to exclude nonpaying customers from consumption.
b. a good or service that is consumed by both the paying and nonpaying customers
c. any good or service that is produced by the government.
d. a good or service that is consumed by private individuals and financed by private contributions.
b
You might also like to view...
To maintain a price below the equilibrium price,
a. demand must increase. b. supply must increase. c. the government must set a ceiling price. d. supply must decrease.
A firm's break-even price is the price that is just equal to the minimum point of the AVC curve, in the short run
a. True b. False Indicate whether the statement is true or false
Martha used to pay for her expenses with her own hard-earned money. She always tried to spend as little as she could. However, she started spending more when she received a scholarship . This behavior is an example of ________
A) moral hazard B) a pecuniary externality C) the free-rider problem D) the paradox of thrift
Price supports can help farmers to better compete internationally
Indicate whether the statement is true or false