Exam 11: Public Goods and Common Resources

Ocean fish are considered rival because a fish taken by one person is ________ for anyone else,and they are nonexcludable because it is ________ to prevent people from catching them.

Rational ignorance is the decision NOT to

To achieve the efficient amount of use of a common resource,the use should be such that ________ equals ________.

In politics,the principle of minimum differentiation is the tendency toward

If no one can be excluded from receiving the benefits of a good or service and the consumption of the good or service does not decrease the amount available to someone else from consuming it,then the good

The government can be large in size because of

The free-rider problem applies

Bureaucrats

You are studying with a friend and your friend says,"private goods are excludable and nonrival,while public goods are nonexcludable and rival." Do you agree?

For a common resource,such as tuna fish in the ocean,no fisher has a ________ incentive to conserve the resource and use it at an ________ rate. A) private; inefficient B) private; efficient C) public; inefficient D) public; efficient E) personal; inefficient

If the two political parties propose similar or identical policies,they are following the principle of

The concept of rational ignorance is defined as

If we know everyone's individual marginal benefit curve for a public good,then the economy's marginal benefit curve for that public good can be found by

The efficient quantity of a public good is

How does the government determine the quota amount that will produce an efficient use of a common resource?

Suppose the marginal cost of the fourth unit of a public good is $20.If Mark and Judy are the only members of society,and they are willing to pay $10 and $11,respectively,for the fourth unit of the good,then the efficient quantity is

A common resource is used efficiently if

If I order a pizza and invite my neighbors to eat it,the pizza is

Sue and Mark are the only two members of a community.Sue's marginal benefit from one lighthouse is $2,000 and Mark's marginal benefit is $1,000.If the marginal cost of one lighthouse is $2,500 and if a lighthouse is a public good,then for efficiency the lighthouse should

For any individual consumer,free-riding is