The government should provide one more unit of a public good if ________
A) the marginal benefits equal the marginal costs of providing the additional unit
B) the marginal cost of providing the next unit exceeds the marginal benefits
C) the marginal benefits exceed the marginal costs of providing the next unit
D) the marginal costs of providing the next unit equal the average cost of providing the next unit
C
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The price elasticity of demand is the
A. change in quantity demanded divided by the change in price. B. percentage change in price divided by the percentage change in quantity demanded. C. change in price divided by the change in quantity demanded. D. percentage change in quantity demanded divided by the percentage change in price.
An ________ distribution of income would yield a ________ curve that was a 45-degree line between 0 and 100%.
A. equal; Gini B. unequal; Lorenz C. unequal; Gini D. equal; Lorenz