Because General Knowledge Is Not Excludable

question 125

Multiple Choice

Because general knowledge is not excludable,

• A)the government contributes to its production.
• B)the cost generally outweighs the benefit to society.
• C)private markets will not supply any general knowledge to society.
• D)general knowledge cannot be "supplied" to the market by anyone since it is not a product.

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Definitions:

Elastic

A term used to describe the sensitivity of the quantity demanded or supplied of a good or service to a change in its price.

Quantity Demanded

The specific amount of a product that buyers are willing and able to purchase at a given price.

Inelastic

Characterized by a low responsiveness of quantity demanded or supplied when there is a price change, signifying that changes in price have minimal impact on consumers' purchasing behavior.

Price Elastic

Describes a situation where the demand or supply of a good or service is highly sensitive to changes in price.