When a Good Is Nonexcludable, Then Individuals

question 102

Multiple Choice

When a good is nonexcludable, then individuals

• A)will purchase the good for less than it cost to produce.
• B)cannot obtain the benefits of the good without paying for it.
• C)have an incentive to become free riders.
• D)will purchase more than the optimum amount.

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Definitions:

Collagen and Elastin Fibers

Proteins present in connective tissues, where collagen provides strength and elastin allows for elasticity.

Macrophages

A variant of white blood cell that is specialized in ingesting and decomposing cellular remnants, alien substances, pathogens, and cancerous cells by means of a procedure referred to as phagocytosis.

Arrector Pili

Small muscles attached to hair follicles that, when contracted, cause hair to stand on end - a phenomenon often associated with cold or fright, known as "goosebumps."

Dermal Root Sheath

The part of the hair follicle that provides a protective layer and is involved in hair growth, derived from the dermis.