When a good is nonexcludable, then individuals
A. will purchase the good for more than what it cost to produce the good.
B. can obtain the benefits of the good without paying for it.
C. have an incentive to become free riders.
D. will purchase more than the optimum amount.
E. b and c
Answer: E
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Assuming Cournot behavior, what happens to the market output, the price of the output, and each firm's output as the number of firms in a market increases?
What will be an ideal response?
The value of the films starring Charlie Chaplin produced in the United States that still exist will not be included in this year's U.S. gross domestic product (GDP) because: a. Charlie Chaplin was not an American citizen
b. Charlie Chaplin did not make the films this year. c. the films earn less revenue. d. the films no longer have any value except to collectors. e. films are intermediate goods.