ch 11 terms Flashcards
1
Q
what are public goods
A
goods that are not excludable or rival in consumption
2
Q
define excludable
A
can prevent someone from
using a good through paywall etc
3
Q
define rival in consumption
A
one persons use diminishes another’s ability to use jt
4
Q
define free rider
A
people who don’t pay and still benefitn
5
Q
what is a cost-benefit analysis
A
compare costs and benefits to decide to provide public good
6
Q
problem with cost-benefit analysis
A
benefit hard to quantift
7
Q
what is the tragedy of the commons
A
everyone acting selfishly negatively affects everyone
8
Q
traits of private goods
A
excludable
rival in consumption
9
Q
traits of club goods
A
excludable
not rival in consumption
10
Q
trait of common resources
A
not excludable
rival in consumption
11
Q
traits of public goods
A
not excludable
not rival in consumption
