Economics 10a Chapter Notes - Chapter 11: Overgrazing, Abundant Number, Excludability

43 views4 pages

Document Summary

Important public goods: national defense, basic research: general knowledge is a public good. Specific technological knowledge is patented, making the knowledge discovered by the owner of the patent excludable. The government subsidizes basic research in medicine, mathematics, physics, chemistry, biology, and even economics. Advocates of antipoverty programs claim that fighting poverty is a public good. Even though everyone prefers to live in a society without poverty, fighting poverty is not a good that private actions can provide because of the free rider problem. It is not rival in consumption meaning that people will ultimately let others take the initiative and let themselves enjoy the benefits. No single family has the incentive to reduce the size of its flock in order to preserve the town commons grazing land. Important common resources: clean air and water: markets do not protect the environment well.

Get access

Grade+20% off
$8 USD/m$10 USD/m
Billed $96 USD annually
Grade+
Homework Help
Study Guides
Textbook Solutions
Class Notes
Textbook Notes
Booster Class
40 Verified Answers
Class+
$8 USD/m
Billed $96 USD annually
Class+
Homework Help
Study Guides
Textbook Solutions
Class Notes
Textbook Notes
Booster Class
30 Verified Answers

Related Documents

Related Questions