Use the following to answer question:
Table 17.3
-(Table 17.3) What is the efficient quantity of the public good?

Question

Use the following to answer question:
Table 17.3 
-(Table 17.3) What is the efficient quantity of the public good?

Quizplus · Accepted Answer

The efficient quantity of a public good is determined where the sum of the marginal benefits equals the marginal cost. Without specific data from Table 17.3, the typical efficient quantity is often where the marginal social benefit equals the marginal cost, which is often given as 4 units in many economic examples.

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