Principles of Economics, 7th Edition

Published by South-Western College
ISBN 10: 128516587X
ISBN 13: 978-1-28516-587-5

Chapter 11 - Part IV - Public Goods and Common Resources - Quick Check Multiple Choice - Page 229: 5

Answer

B

Work Step by Step

Public goods do not provide profit to sole proprietorship or companies. Public goods need to be provided by the government. Ex: Tornado Sirens. This benefits everyone that can hear the sirens and it was provided by the government so it is not excludable. In the absence of a government public goods would be underprovided.
Update this answer!

You can help us out by revising, improving and updating this answer.

Update this answer

After you claim an answer you’ll have 24 hours to send in a draft. An editor will review the submission and either publish your submission or provide feedback.