Efficient Provision of a Public Good Occurs When

Multiple Choice

Efficient provision of a public good occurs when:

A) the marginal cost and the marginal social benefit curves intersect; the marginal social benefit curve is the sum of all the individual demand curves for the good.
B) the marginal cost and the marginal social benefit curves intersect; the marginal social benefit curve reflects the costs and benefits of producing the good.
C) each individual votes on the amount that is to be spent on public goods.
D) the free market is left to determine the social costs and benefits.