Multiple Choice
Imagine a 2,000-acre park with picnic benches, trees, and a pond. Suppose it is publicly owned, and people are invited to enjoy its beauty. Of course, when the weather is nice it is difficult to find parking, and the trash cans overflow with food wrappers on summer afternoons. Otherwise, it is a great place. The park is not a pure public good because
A) when trash cans overflow, a negative externality becomes a positive externality
B) it is not fenced to control access
C) weather is nice only in the summer, limiting optimal use
D) if too many people use it, one person's use can prevent others from using it as well
E) you have to drive to get there and the automobile is a private good
Correct Answer:

Verified
Correct Answer:
Verified
Q33: Externalities get their name from the fact
Q34: The social cost of production, in cases
Q35: Moral hazard describes a situation in which<br>A)
Q36: A local ordinance prohibiting leaf burning is
Q37: Goods whose production is associated with positive
Q39: In a society with market failure, there<br>A)
Q40: Externalities are unintended costs or benefits imposed
Q41: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB10702/.jpg" alt=" -Exhibit N-5 depicts
Q42: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB10702/.jpg" alt=" -In Exhibit N-4,
Q43: How does moral hazard affect market outcomes?