Why do market failures arise in case of public goods?
a. The quantity produced is much more than is actually required by the people.
b. The quality of these goods is not good enough.
c. The quantity produced is too less from the society's point of view.
d. The government wastes a lot of resources for producing a public good.
e. The users of such goods are required to pay a high price for these goods.
c
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In the long run, most economists agree that a permanent increase in government spending leads to
A) no decrease in private spending. B) a decrease in private spending by less than the amount that government spending increased. C) a decrease in private spending by the same amount that government spending increased. D) a decrease in private spending by more than the amount that government spending increased.
Number of EmployeesTotal Output16211315418520Table 16.2 Table 16.2 gives the number of oil changes that can be performed at a local oil change business based on the number of employees hired. If the price of an oil change is $20, what is the marginal revenue of the third employee?
A. $80 B. $5 C. $360 D. $40