Chapter 11 Micro Final

Question 1

Common resources

Answer 1

Rival in consumption but NOT excludable

Question 2

Excludable goods

Answer 2

Good that someone can be prevented from using

Question 3

What is an example of a tragedy in commons

Answer 3

The Atlantic Ocean running out of fish due to people over fishing in it

Question 4

What is an example of a Natural Monopoly

Answer 4

When Luxottica naturally started taking over sunglasses companies. Eventually they started taking over Lens Crafter, Ray Bands and Sunglasses Hut.

Question 5

What is the tragedy of the commons?

Answer 5

Overuse of the resource that leads to an elimination of it

Question 6

Private goods

Answer 6

You can stop people from consuming it

Also effects others from purchasing the good

Question 7

What is an example of a rival good?

Answer 7

Cars

Clothing

Question 8

Rival Good

Answer 8

A good consumers compete against that takes away from others use

Question 9

What is an example of a public good?

Answer 9

National Defense

Question 10

What is an example of a free rider

Answer 10

Wegmans hosting a free tasting event
They encourage $5 donations to cancer fund
I do not donate and just eat the food for free

Question 11

Club Good

Answer 11

Anyone can enjoy it but everyone can IF they pay for it

Question 12

Free Rider

Answer 12

Someone who consumes a service without paying for it

Question 13

What is an example of an excludable good?

Answer 13

Fish Tacos

Question 14

Subsidy

Answer 14

Money given to the consumers through the government

Question 15

Non-Rival Good

Answer 15

Can be used multiple times and never goes away

Question 16

What is an example of a private good?

Answer 16

Food

Question 17

When something increases at a decreasing rate…

Answer 17

It slows down but continues to increase

Question 18

Value

Answer 18

The Money gained from anything

Question 19

Non excludable goods

Answer 19

A good that any one can use NO MATTER WHAT

Question 20

What is an example of a non excludable good?

Answer 20

Radio Signals

Question 21

What are 3 solutions of the tragedy of the commons?

Answer 21

Regulations
Taxes
Zoneing

Question 22

What does the changing slope of the total cost curve reflect?

Answer 22

Decreasing the marginal product

Question 23

What is an example of a non rival good?

Answer 23

Demi Lovato Song on iTunes

Question 24

What is an example of a common resource?

Answer 24

Fish in the ocean

Question 25

Public goods

Answer 25

When I don’t pay for it and me enjoying it does not impact others

Question 26

What is an example of a club good?

Answer 26

Gym Membership