Exam 11: Public Goods and Common Resources

Ten friends who love to ski decide to pool their financial resources and equally share the cost of a one-week time-share condominium in Alta,Utah.Suppose that the lift lines at the ski resort become more congested when the ten additional people start to ski.Which of the following statements is not correct?

Why is the commercial value of ivory a threat to the elephant,while the commercial value of beef is the cow's guardian?

Goods that are neither excludable nor rival in consumption would be considered

Goods that are excludable but not rival in consumption would be considered

Which of the following is an example of the Tragedy of the Commons?

The creation of knowledge is a public good.Because knowledge is a public good,profit-seeking firms tend to free-ride on the knowledge created by others and,as a result,devote too few resources to the creation of knowledge.How does the U.S.government correct for this apparent market failure?

Which of the following goods is not rival and not excludable?

Elephants are endangered,but cows are not because

National defense is provided by the government because

Four friends who love to ski decide to pool their financial resources and equally share the cost of a one-week time-share condominium in Alta,Utah.Unfortunately,the condominium does not come with maid service.Everyone says that she values clean dishes,yet unwashed dishes pile up in the sink.To an economist,clean dishes in the cupboard represent

Which of the following is not a characteristic of a public good?

Fire protection is a good example of a natural monopoly because

Police protection in a small town with a large police force is

Raising the entrance fee at Yellowstone National Park would not

One benefit to the patent system is that it encourages the production of technical knowledge.

Tolls are not effective in altering people's incentives to drive during rush hour.

A good is excludable if

Four friends decide to meet at a Chinese restaurant for dinner.They decide that each person will order an item off the menu,and they will share all dishes.They will split the cost of the final bill evenly among each of the people at the table.When the food is delivered to the table,each person faces incentives similar to the

Elephant populations in some African countries have started to rise because

A town engineer comes to the city council with a proposal to install a traffic light at a certain intersection that currently has a stop sign.The benefit of the traffic light is increased safety because the light will reduce the incidence of fatal traffic accidents by 50 percent per year.Which of the following statements is correct?