Efficient Provision of a Public Good Occurs When

question 68

Multiple Choice

Efficient provision of a public good occurs when:

• A)the marginal cost and the marginal social benefit curves intersect; the marginal social benefit curve is the sum of all the individual demand curves for the good.
• B)the marginal cost and the marginal social benefit curves intersect; the marginal social benefit curve reflects the costs and benefits of producing the good.
• C)each individual votes on the amount that is to be spent on public goods.
• D)the free market is left to determine the social costs and benefits.

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Definitions:

Human Resource Information System

A combination of systems and processes that connect human resource management and information technology through HR software.

Monitor Measures

Activities and processes put in place to regularly check, track, and assess the effectiveness of policies, practices, or operations.

Customer-Driven Changes

Modifications or improvements to a product or service based on feedback or demands from customers.

Manufacturing and Service Sectors

Two broad areas of the economy; manufacturing involves producing goods, while services entail providing non-physical assistance to consumers or businesses.