Econ Public Goods and Common Resources

The Tragedy of the Commons results when a good is a. neither rival in consumption nor excludable. b. both rival in consumption and excludable. c. rival in consumption and not excludable. d. excludable and not rival in consumption.

C

When a good is excludable, a. one person's use of the good diminishes another person's ability to use it. b. no more than one person can use the good at the same time. c. people can be prevented from using the good. d. everyone will be excluded from using the good.

C

If people can be prevented from using a certain good, then that good is called a. excludable. b. a common resource. c. a public good. d. rival in consumption.

A

If the government decides to build a new highway, the first step would be to conduct a study to determine the value of the project. The study is called a a. cost-benefit analysis. b. monetary analysis. c. welfare analysis. d. fiscal analysis.

A

Which of the following goods is excludable but not rival in consumption? a. fire protection in a small town b. whales in the ocean c. a tornado siren d. a congested toll road

A

The Tragedy of the Commons occurs because a. common resources are subject to exclusionary rules. b. a common resource is rival in consumption. c. a common resource is underutilized. d. crimes are committed in public places.

B

If one person's use of a good diminishes another person's enjoyment of it, the good is a. exhaustible. b. normal. c. rival in consumption. d. excludable.

C

If the use of a common resource is not regulated, a. it will tend to be underused. b. no one can enjoy it. c. it will be overused. d. property rights will be clearly defined.

C

A good is excludable if a. the government can regulate its availability. b. it is not a normal good. c. one person's use of the good diminishes another person's enjoyment of it. d. people can be prevented from using it.

D

When a good is rival in consumption, a. people can be prevented from using the good. b. everyone will be excluded from obtaining the good. c. an unlimited number of people can use the good at the same time. d. one person's use of the good diminishes another person's ability to use it.

D