Comment on the following statement: "The market demand for public goods is derived in the same way that the market demand for private goods is derived."

What will be an ideal response?

The statement is false. Adding up the amounts that individual buyers are willing to pay for each potential level of output derives the market demands for public goods. Adding up the quantities that each buyer decides to purchase at each and every price derives the market demand for private goods.

Economics

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In the table above, what inflation rate belongs in space E?

A) 17.0 percent B) 6.8 percent C) 8.3 percent D) 15.4 percent

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Aggregate output is increased by a decrease in

A) autonomous consumption. B) government spending. C) planned investment. D) net taxes.

Economics