When a good is nonexcludable,
a. it is impossible or very costly to exclude nonpaying customers from receiving the good.
b. individuals will have an incentive to become free riders.
c. it will be difficult for a private firm producing the good to generate revenue sufficient to cover the cost of production.
d. all of the above are true.
D
Economics
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An investment option is profitable if:
A) its net present value is zero. B) its net present value is positive. C) its net present value is negative. D) its present value is negative
Economics
If an increase in investment spending of $50 million results in a $400 million increase in equilibrium real GDP, then
A) the multiplier is 0.125. B) the multiplier is 3.5. C) the multiplier is 8. D) the multiplier is 50.
Economics