A person who regularly watches BBC television programs in the UK but fails to pay their TV licence fee is known as ?

A. Excess baggage
B. A free rider
C. A costly rider
D. A common resource

A public good is ?

A. Neither rival nor excludable
B. Rival but not excludable.
C. Both rival but excludable
D. Not rival but excludable

A good produced by a natural monopoly is ?

A. Rival but not excludable
B. Neither rival nor excludable
C. Not rival but excludable
D. Both rival and excludable

A common resource is ?

A. Not rival but excludable
B. Both rival and excludable
C. Rival but not excludable
D. Neither rival nor excludable

Suppose each of 20 neighbours on street values street repairs at €3000 the cost of the street repair is €40,000 which of the following statements is true ?

A. It is efficient for the government to tax the resident €2,000 each and repair the road
B. It is efficient for each neighbour to pay €3,000 to repair the section of street in front of his/her home
C. None of these answers are true
D. It is not efficient to have the street repaired

Which of the following is an example of a public good ?

A. Hot dogs at a picnic
B. Whales in the ocean
C. National defense
D. Apples on a tree in a public park

Suppose that requiring motorcycle riders to wear helmets reduces the probability of a motorcycle fatality from 0.3 percent to 0.2 percent over the lifetime of a motorcycle rider and that the cost of lifetime supply of helmets is Rs5000. It is efficient for the government to require riders to wear helmets if human life is valued at ?

A. Rs 150 or more
B. Rs 500,000 or more
C. Rs50,000 or more
D. Rs500 or more

When government employ cost-benefit analysis to help them decide whether to provide a public good, measuring benefits is difficult because ?

A. There are no benefits to the public since a public good is not excludable
B. The benefits are infinite because a public good is not rival and an infinite amount of people can consume it at the same time
C. One can never place a value on human life or the environment
D. Respondents to naires have little incentive to tell the truth.

The Tragedy of the Commons is a parable that illustrates why?

A. Common resources are overconsumed
B. Public goods are underproduced
C. Private goods are under consumed
D. Natural monopolies overproduce goods.

Which of the following is an example of a reason why firms might pay efficiency wages ?

A. at equilibrium wages workers sleep when the boss is not looking because workers are not deeply concerned about being fired
B. at equilibrium wages workers often quit to find better jobs.
C. at equilibrium wages only minimally qualified workers apply for the job
D. at equilibrium wages, workers cannot afford a healthy diet so they fall asleep at work due to a lack of energy