Competitive Markets Are Unlikely to Produce the Efficient Quantity of a Public

Multiple Choice

Competitive markets are unlikely to produce the efficient quantity of a public good because:

A) public goods are nonrival in consumption but exclusion costs are low.
B) public goods are nonrival and are characterized by nonexclusion.
C) the marginal benefit derived from a public good is less than the marginal cost of producing the good.
D) the marginal benefit of a public good increase with an increase in consumption of the good.