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Public Goods: Demand Curve and Optimal Quantity
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Public Goods: Demand Curve and Optimal Quantity
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8. The Types of Goods / Public Goods: Demand Curve and Optimal Quantity / Problem 1
Problem 1
How is the demand curve for a private good constructed?
A
By averaging the prices individuals are willing to pay.
B
By vertically summing individual prices each person is willing to pay at each quantity.
C
By summing the total cost of production.
D
By horizontally summing individual quantities demanded at each price.
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