The difference between a private good and a public good is that
A) private goods are produced in competitive markets whereas public goods are produced in noncompetitive ones.
B) externalities are always created in the production process of private goods but not in the production of public goods.
C) the production of private goods requires a national market whereas public goods are produced locally.
D) the exclusion principle applies to private goods but not to public goods.
Correct Answer:
Verified
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