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Tim Works for the Government and Is Implementing a New

Question 48

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Tim works for the government and is implementing a new government policy to set up spacious yoga studios at all state primary schools.The general public will be able to attend classes in the studios but Tim is still is trying to decide on a pricing structure.What pricing structure should Tim suggest the government adopt for the studios and why?


A) participants shouldn't pay for their own class because a yoga class is a private good
B) participants should pay for the classes out of their taxes because yoga classes are a public good
C) participants shouldn't pay for their own class because a yoga class is a common resource
D) participants should each pay for their own class because yoga classes are excludable and rival

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