Which of the following is TRUE when there is optimal provision of a public good?
A) marginal cost equals marginal rate of substitution for each consumer
B) each consumer's surplus equals marginal cost
C) total consumer surplus equals marginal cost
D) the sum of all consumers' marginal rates of substitution equals marginal cost
Correct Answer:
Verified
Q2: Public goods:
A) are likely to be underprovided
Q3: If it is not possible to prevent
Q4: A good for which the price is
Q5: If one person consumes a good,so that
Q6: The underprovision of public goods by a
Q7: If a good becomes less valuable as
Q8: Which is a property of a private
Q9: If individuals care about the outcomes for
Q10: Which activity is considered altruistic?
A) planting flowers
Q11: What property must a good satisfy to
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