National Defense Is Considered a Public Good Because There Appears

question 141

Essay

National defense is considered a public good because there appears to be no limits to the nonrivalry-in-consumption characteristic, and exclusion of nonpayers is impossible. Are there any other goods that so perfectly meet both public goods criteria?

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Definitions:

Marginal Revenue Product

The additional revenue produced from using one more unit of an input.

Marginal Labor Cost

The additional cost incurred by hiring one more unit of labor.

Hourly Wage

The amount of money that an employee is paid for each hour of work.

Production Workers

Production workers are employees involved in the manufacturing process or operations of producing goods and services.