6 Prblic goods are often under produced because (@) Corporations rarely pay their fair share (b) Most public goods have already been provided (c) Private goods already satisfy consumer needs Free riders receive benefits but avoid paying 1 Which ofthe following isa feature ofa PRIVATE good? (@) Itis produced by the state and provided freely It generates significant external benefits ‘Only individuals who pay for the good will be able to consume it @ Itsuffers from the free rider problem The emission of cazbon ‘monoxide which is a form of pollution is an example of: (@) An external benefit (b) A merit good ©) A public good ‘An external cost 9Brivate goods are characterized by: Rivalry and excludability (©) Rivalry and non-excludability (© Non-rivalry and non-excludability (@ Non rivalry and excludability d0-The free rider problem arises because : (a) Private goods may also be public goods ) Public goods have no cost of production It's possible to consume a public good without paying for it The cost of producing public goods is high 4. Which of the following is correct? (a) FC=8C+EC