The free rider problem suggests that a producer will tend to:
I.produce more than the optimal quantity of a public gooD.
II.produce less than the optimal quantity of a public gooD.
IiI.produce the optimal quantity of a public good if it is funded out of tax revenuE.
A) (i) only
B) (ii) only
C) (i) and (iii) only
D) (ii) and (iii) only
Correct Answer:
Verified
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