This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Why is the market demand curve for public goods calculated as a vertical summation of individual ... (Read 55 times)

Capo

  • Hero Member
  • *****
  • Posts: 545
on: Jun 29, 2018
Why is the market demand curve for public goods calculated as a vertical summation of individual demand curves?
 
  What will be an ideal response?

Question 2

Refer to Figure 6-1. A perfectly inelastic demand curve is shown in
 
  A) Panel A. B) Panel B. C) Panel C. D) Panel D.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

okolip

  • Sr. Member
  • ****
  • Posts: 362
Reply #1 on: Jun 29, 2018
Answer to Question 1

Public goods are non-rival and non-excludable. Everyone consumes the same quantity of a public good. The market demand for public goods is derived by summing individual demand curves vertically. Individual demand curves need to be summed vertically because this shows the amount of money consumers are willing to pay for each level of the public good.

Answer to Question 2

A


Capo

  • Member
  • Posts: 545
Reply 2 on: Jun 29, 2018
Wow, this really help

laurnthompson

  • Member
  • Posts: 334
Reply 3 on: Yesterday
YES! Correct, THANKS for helping me on my review

« previous next »
 

Did you know?

Lower drug doses for elderly patients should be used first, with titrations of the dose as tolerated to prevent unwanted drug-related pharmacodynamic effects.

Did you know?

Amoebae are the simplest type of protozoans, and are characterized by a feeding and dividing trophozoite stage that moves by temporary extensions called pseudopodia or false feet.

Did you know?

The modern decimal position system was the invention of the Hindus (around 800 AD), involving the placing of numerals to indicate their value (units, tens, hundreds, and so on).

Did you know?

About 60% of newborn infants in the United States are jaundiced; that is, they look yellow. Kernicterus is a form of brain damage caused by excessive jaundice. When babies begin to be affected by excessive jaundice and begin to have brain damage, they become excessively lethargic.

Did you know?

According to the FDA, adverse drug events harmed or killed approximately 1,200,000 people in the United States in the year 2015.

Close-up of the underside of a gecko's foot as it walks on vertical glass Close-up of the underside of a gecko's foot as it walks on vertical glass
Jean Piaget influenced the field of developmental science more than any other individual. Jean Piaget influenced the field of developmental science more than any other individual.
The Kuznets Curve The Kuznets Curve
Construct a Lorenz curve that shows income distribution in this society. Construct a Lorenz curve that shows income distribution in this society.
Brain metabolism in a schizophrenic individual (left) and a normal individual (right). These scans o Brain metabolism in a schizophrenic individual (left) and a normal individual (right). These scans o
The lifetime risk for schizophrenia varies with the degree of relationship to an affected individual The lifetime risk for schizophrenia varies with the degree of relationship to an affected individual
Video: Bone Healing Animation

For a complete list of videos, visit our video library