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In the Case of Public Goods

Question 11

Multiple Choice

In the case of public goods:


A) the free rider problem does not arise.
B) one person's consumption of the good reduces the consumption of the good by others.
C) individuals can be easily excluded from consuming the good once it is provided.
D) the quantity produced by a private market would be too large from society's viewpoint,because private firms could not force payment for the goods.
E) the principle of mutual excludability and principle of rivalry does not apply.

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