The Efficient Quantity of a Public Good Is the Quantity

question 59

Multiple Choice

The efficient quantity of a public good is the quantity at which marginal benefit is

• A) greater than marginal cost by any amount.
• B) less than marginal cost.
• C) equal to marginal cost.
• D) zero.
• E) greater than marginal cost by the maximum amount.

---

Definitions:

Interest

The feeling of wanting to know or learn about something or someone, or a financial charge for borrowed money.

Blog

A web page or website that is updated on a regular basis, usually maintained by an individual or a few people, and features a casual or dialogue-based writing style.

Viral Marketing

A method of marketing whereby consumers are encouraged to share information about a company's goods or services via the Internet.

Online Word-of-mouth

The electronic spread of information, recommendations, or opinions about products or services through social networks or forums.