Private markets tend to undersupply nonexcludable goods because of

Question

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Nonexcludable goods, such as public parks or national defense, are goods that cannot be restricted to those who do not pay for them. This creates a free-rider problem, where people can enjoy the benefits of the good without contributing to its costs. Private markets, which rely on individuals to pay for the goods they consume, will therefore tend to undersupply nonexcludable goods because there is no clear way to charge individuals for their use of the good. Choices A, B, and D do not adequately explain why private markets tend to undersupply nonexcludable goods.

Private Markets Tend to Undersupply Nonexcludable Goods Because of