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The Market System Fails to Provide the Efficient Output of Public

Question 229

Multiple Choice

The market system fails to provide the efficient output of public goods because:


A) ​people place no value on public goods.
B) ​private firms cannot restrict the benefits from those goods to consumers who are willing to pay for them.
C) ​public enterprises can produce those goods at lower cost than private firms.
D) ​public goods create widespread spillover costs.

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