How does a public good differ from a quasi-public good? In your answer give an example of each type of good
What will be an ideal response?
A pubic good is: (a) nonrivalrous—one person's consumption of the good does not prevent anyone else from consuming it; (b) nonexcludable—anyone can consume the good without paying for it. An example of a public good is national defense. A quasi-public good is excludable, but nonrival. This means that people who do not pay for the good do not consume it, but one's person's consumption does not affect the consumption of anyone else. An example of a quasi-public good is a toll road.
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Answer the following statement(s) true (T) or false (F)
1. Unsolicited emails are a major positive externality. 2. Negative externalities lead to overproduction. 3. Firms do not shoulder the full cost of their actions if there is a negative externality. 4. Positive externalities result in efficient output levels. 5. Pollution has no benefits.
Gross National Product equals:
a) Net National Product adjusted for inflation b) Gross Domestic Product adjusted for inflation c) Gross Domestic Product plus net property income from abroad d) Net National Product plus net property income from abroad
Changing the discount rate and the fed funds rate simultaneously is called ___________.
Fill in the blank(s) with the appropriate word(s).
Which of the following best defines what the long run for a business is?
A. more than one year B. the time to make necessary business decisions C. the period of time during which at least one input is fixed D. the period of time during which all inputs are variable