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Individuals Want Nonexcludable Public Good X,but the Market Does Not

Question 46

Multiple Choice

Individuals want nonexcludable public good X,but the market does not provide it because of the free rider problem.Government overcomes the free rider problem by ______________ individuals and then either producing good X itself or paying someone to produce it.


A) forcing individuals to work longer hours
B) taxing
C) surveying
D) subsidizing
E) none of the above

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