Public goods are difficult for a private market to provide due to ?

A. The rivalness problem
B. The public goods problem
C. The tragedy of the commons.
D. The free-rider problem.

A free rider is a person who ?

A. Receives the benefits of a good but avoids paying for it.
B. Pays for a good but fails to receive any benefit from the good
C. Fails to produce goods but is allowed to consume goods.
D. Produces a good but fails to receive payment for the good

A positive externality affects market efficiency in a manner similar to a ?

A. Rival good
B. Public good
C. Private good
D. Common resource

A negative externality affect market efficiency in a manner similar to ?

A. An excludable good.
B. A private good
C. A common resource
D. A public good.

Which of the following is an example of a common resource ?

A. A firework displays
B. National defense
C. Iron one
D. A national park

If a person can be prevented from using a good, the good is said to be ?

A. Excludable
B. A common resource
C. A public goods
D. Rival

The market power effect of an international joint venture can lead to welfare losses for the domestic economy unless offset by cost reductions. Which type of cost reduction would not lead to offsetting welfare gains for the overall economy ?

A. R&d generating welfare improved technology
B. Development of more productive machinery
C. New work rules promoting workers efficiency
D. Lower wages extracted from workers

Which of the following are potential solutions to the problem of air pollution?

A. Grant right of the clean air to citizens so that firms must purchase the right to pollute
B. Auctions off pollution permits.
C. Regulate the amount of pollutants that firms can put in the air
D. All of these answers

When markets fail to allocate resources efficiently, the ultimate source of the problem is usually ?

A. Government regulation
B. That prices are not low enough so firms over produce
C. That prices are not high enough, so people overconsume
D. That property rights have not been well established

A congested toll road is ?

A. A good produced by a natural monopoly
B. A private good
C. A public good
D. A common resource