Author Question: A room heater is a ________. A) club good because it is excludable but non-rival in consumption ... (Read 317 times)

Themember4 · **on:** Jun 29, 2018

A room heater is a ________.

A) club good because it is excludable but non-rival in consumption
B) club good because it is non-excludable but rival in consumption
C) public good because it is non-excludable and non-rival in consumption
D) private good because it is excludable and rival in consumption

Question 2

Refer to the scenario above. Which of the following will be true if Alice stops the auction at 30,000?

A) She will earn zero consumer surplus.
B) She will earn a consumer surplus of 5,000.
C) She will earn a consumer surplus of 30,000.
D) She will earn a consumer surplus of 16,000.