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-16 ABCDE 17 ABCDE -1ABCDE -19 A B C ABC DE 20 A BCDE 21 A B C D E\' -22 A BCDE

ID: 1104409 • Letter: #

Question

-16 ABCDE 17 ABCDE -1ABCDE -19 A B C ABC DE 20 A BCDE 21 A B C D E' -22 A BCDE 23 A BCDE -24 A B C D -25 A BCDE ECON 260 a person who receives the benefit ofago db tavoi spay gfori. Afreender problem exists for any good th a. the goods will not be produced since no one valoes them b, the free-rider problem prevents the private market from supplying them. c. the free-rider problem encourages the private market to supply d.the private market will produce the goods but wil charge lies fer them than 40. Without government intervention, public goods tend to be a underproduced and common resources tend to be b. overproduced and common resources tend to be overconsumed. c. underproduced and common resources tend to be overconsumed are produced as puablic goods. underconsumed. d. overproduced and common resources tend to be underconsumed.

Explanation / Answer

If a free rider problem exists for any good then the free rider problem prevents the private market from supplying them.

Without government intervention, public goods tend to be underproduced and common resources tend to be over consumed.