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Microeconomics Study Notes: Market Failures, Public Goods, and the Public Sector (ECON1110, Chapter 5)
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Externalities: Social Benefits and Social Costs
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Negative Externality and Positive Externality
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Externalities on the Graph
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Public Solutions to Externalities
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Public Solutions to Externalities:Command-and-Control Policies and Corrective Pigovian Taxes and Subsidies
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Public Solutions to Externalities:Quantity Limits
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Private Solutions to Externalities: The Coase Theorem
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The Coase Theorem
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Four Types of Goods and Two Characteristics
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Two Characteristics:Rivalry in Consumption and Excludability
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The Four Types of Goods:Private Goods, Club Goods, Common Resources, and Public Goods
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The Free Rider Problem and the Tragedy of the Commons
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Free Rider Problem
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Tragedy of the Commons
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