Which of the following is true of the market demand for a public good?
A) The market demand curve for a public good is the vertical sum of individual consumers' demand curves.
B) The market demand curve for a public good is the horizontal sum of individual consumers' demand curves.
C) The efficient quantity of a public good produced occurs where the market demand curve intersects the market supply curve.
D) The market demand curve for a public good is the sum of the quantities demanded by each consumer at a given income level.
E) The efficient quantity of a public good produced occurs where the marginal utility from the last dollar spent on the good is zero.
Correct Answer:
Verified
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