Questions
Questions

AP Economics-Hillebrand Quiz Micro 6.1-6.3- Requires Respondus LockDown Browser

Single choice

Which of the following is true of the marginal cost of providing a pure public good to one more consumer?

Options
A.It is positive.
B.It is equal to zero.
C.It is equal to the original cost of the good.
D.It decreases as the number of consumers increases.
E.It increases as the number of consumers increases.
View Explanation

View Explanation

Verified Answer
Please login to view
Step-by-Step Analysis
When thinking about a pure public good, the key feature is non-rivalry: one more person consuming the good does not reduce the amount available to others. Option 1: 'It is positive.' This would imply that supplying the next unit to an additional person costs something in a way that reduces others' consumption, which......Login to view full explanation

Log in for full answers

We've collected over 50,000 authentic exam questions and detailed explanations from around the globe. Log in now and get instant access to the answers!

Similar Questions

More Practical Tools for Students Powered by AI Study Helper

Join us and instantly unlock extensive past papers & exclusive solutions to get a head start on your studies!