For Certain Public Projects Such as Building a Dam on a River

Multiple Choice

For certain public projects such as building a dam on a river or a bridge to an island, what procedure is a government likely to use to determine what quantity of a public good should be supplied?

A) It conducts public surveys to determine if consumers want the product.
B) It checks to see what current spending can be eliminated, and how much of the public good can be supplied from the spending cut.
C) It takes a vote in Congress.
D) It evaluates the costs and benefits of producing the good.