If the Marginal Social Benefit of a Public Good Is

question 2

Multiple Choice

If the marginal social benefit of a public good is greater than the marginal social cost of providing the good, then:

• A)the private market will best determine who and how much of the good will be provided.
• B)a community will provide the good.
• C)the community will not provide the good.
• D)free riding will not occur, so the private market will provide the socially optimal amount.

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