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8. The Types of Goods
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Problem 15
8. The Types of Goods
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8. The Types of Goods / The Free Rider Problem and the Tragedy of the Commons / Problem 10
Problem 10
How can government intervention address the free rider problem in public goods?
A
By eliminating public goods altogether.
B
By reducing the marginal cost of public goods to zero.
C
By allowing private markets to determine the supply of public goods.
D
By imposing taxes to fund the provision of public goods when the marginal benefit exceeds the marginal cost.
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