When Governments Employ a Cost-Benefit Analysis Using the Results from a Questionnaire

question 24

Multiple Choice

When governments employ a cost-benefit analysis using the results from a questionnaire to help them decide whether to provide a public good, measuring benefits is difficult because

• A) there are no benefits to the public since a public good is not excludable.
• B) the benefits are infinite because a public good is not rival and an infinite amount of people can consume it at the same time.
• C) one can never place a value on human life or the environment.
• D) respondents to questionnaires have little incentive to tell the truth.