Why Is It Difficult for a Private Market to Provide

question 196

Multiple Choice

Why is it difficult for a private market to provide the economically efficient quantity of a public good?

• A)Because by law, governments cannot use cost-benefit analysis to determine this quantity
• B)Because individual preferences are not revealed on the market for the good
• C)Because public goods produce positive and negative externalities
• D)Because it is too expensive to produce the necessary amount of the good

Recognize the importance of environmental factors and community infrastructure in disease prevention.

Understand the historical development of public health initiatives and their impact on community health.

Analyze the role of government and non-governmental organizations in the advancement of public health.

Identify key figures and their contributions to public health and nursing.

---

Definitions:

Deposit Method

An accounting approach used for recognizing revenue and expenses related to transactions where payment is received before the delivery of goods or services.

Sales Price

The amount of money for which a product or service is sold in the marketplace.

Significant Production

Significant production describes a level of manufacturing or output that markedly influences a company's overall capacity and inventory levels.

Revenue Recognition

The accounting rule that specifies the particular scenarios in which revenue is acknowledged or recorded.