Exam 11: Public Goods and Common Resources

When describing goods and services,what is meant by the terms "rival" and "nonrival?" Are private goods rival or nonrival? Are public goods rival or nonrival? Are common resources rival or nonrival?

-The above figure shows the marginal private cost curve,marginal social cost curve,and marginal social benefit curve for cod,a common resource.The efficient outcome is ________.

The fact that Florida's consumption of national defense does not preclude North Dakota from consuming the same national defense is an example of

Tons of fish Marginal social benefit (dollars per hour) 100 700 200 600 300 500 400 400 500 300 600 200 -The table above shows the marginal social benefit of fishing in Mediterranean Sea.The marginal private cost of operating a fishing boat is the same for all producers,$300 per hour.The marginal social cost is twice the marginal private cost.With no government intervention,the equilibrium quantity of fish caught is ________ tons.

We determine the economy's marginal benefit curve for a public good or service by

For a common resource,it is the case that

Which of the following goods is best described as nonexcludable?

Which of the following is the best example of a public good?

Which of the following applies to the tragedy of the commons and a common resource? i.In the absence of government action,there are no incentives to prevent the overuse of the common resource. ii.When consumers take account of the marginal social benefit and marginal cost,overuse of the common resource occurs. iii.Even with government action,it is impossible to achieve the efficient level of use of a common resource.

When someone enjoys the benefit of a good or service but does not pay for it,that person

Protection of rivers in Idaho is a public good.If the marginal cost of protecting rivers in Idaho exceeds the marginal benefit of river protection,is there more than,less than,or the efficient amount of river protection taking place?

The fact that Sha's enjoyment of a sunset on Saint Simon's Island does not preclude Lou from enjoying the sunset is an example of

Some resources are private and others are common.Define a common resource,explain the definition,and provide an example of a private resource and a common resource.

Minutes of fireworks Anita's (dollars per minute) Steve's (dollars per minute) 16 \ 20 \ 28 17 18 25 18 16 22 19 14 19 20 12 16 -The table above shows Anita and Steve's marginal benefits for the annual 4th of July fireworks show at City Park.If Anita and Steve are the only two people in the economy,what is the economy's marginal benefit from the 18th minute of fireworks?

"The principle of increasing marginal cost does not apply to public goods." Is this statement correct or not?

If I order a pizza and invite my neighbors to eat it,the pizza is

To achieve the efficient amount of use of a common resource,the use should be such that ________ equals ________.

Quantity (number of missile gun boats) Paul's marginal benefit (millions of dollars) Paula's marginal benefit (millions of dollars) 1 6 10 2 4 8 3 2 6 4 1 3 -Paul and Paula are the only members of society.The table above gives their marginal benefits from missile gunboats,a public good.Determine the marginal benefit to society of the second missile gunboat.

A good that can be consumed even if the consumer does not pay for it

The marginal benefit curve of a public good is calculated by ________ individual marginal ________ curves.