The tendency for the market to under produce public goods and overproduce private goods results from:
a) the fact that people are reluctant to buy what they can get free.
b) the law of conservation of matter and energy.
c) the law of diminishing returns.
d) public goods are not as important as private goods.
Answer: a) the fact that people are reluctant to buy what they can get free.
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a. True b. False Indicate whether the statement is true or false
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