Government can overcome the free rider problem by collecting taxes and using the funds to provide individuals with nonexcludable public goods that they want to buy but the market cannot provide.

Invention is the discovery of a new process or idea. Innovation is

a. the continuing search for inventions. b. copying ideas from rival firms. c. putting an invention to work. d. basic research.

According to the Coase theorem, the private market will need government intervention in order to reach an efficient outcome

a. True b. False Indicate whether the statement is true or false