Author Question: A market of price takers is called A) perfectly competitive. B) monopolistically competitive. C) ... (Read 67 times)

storky111 · **on:** Jun 30, 2018

A market of price takers is called
A) perfectly competitive.
B) monopolistically competitive.
C) a monopoly.
D) an oligopoly.

Question 2

How is the production of public goods funded?

leannegxo · **Reply #1 on:** Jun 30, 2018

Answer to Question 1

A

Answer to Question 2

Some public goods are voluntarily funded by persons with a sense of obligation, but many are not. When voluntary provision does not suffice, there are three basic ways to fund the production of public goods. First, the public good can be tied with a private good. Second, the law can make a public good excludable. For example, to encourage inventive activity and discourage free riding, inventors can apply for patents that will allow them to control unauthorized use of their inventions for 17 years. Third, governments can supply public goods financed by taxes that citizens have little choice but to pay.