Macroeconomics
13th Edition
ISBN: 9780134735696
Author: PARKIN, Michael
Publisher: Pearson,
expand_more
expand_more
format_list_bulleted
Question
Chapter 16, Problem 1SPA
To determine
Classify the good as excludable, non-excludable, rival, and non-rival.
Expert Solution & Answer
Explanation of Solution
- A Big Mac: It is a good whose consumption by one reduces its availability to others (rival) and from which a personcan be excluded as it can only be consumed by person, if only he or she pays for it. Thus, it is rival and excludable.
- Brooklyn Bridge: It is a good whose use by one reduces its availability to others especially when it is crowded (rival) and from which none is excluded as it can only be utilized by all irrespective ofthey paying or not (there is no toll for using the bridge). Thus, it is rival and non-excludable.
- A view of the statue of Liberty: It is a good that is non-rival and non-excludable because viewing of the statue by a person does not reduce other people’s view and none is prevented from viewing it.
- A hurricane warning system: It is a good that is non-rival and non-excludable because the warning learned by a person does not limit other people’s use of warning, and the warning is sound enough for everyone to understand.
Economics Concept Introduction
Non-excludable good: A good is non-excludable ifpeople who do notpay cannot be easily prevented from using the good.
Non-rival good: A good is non-rival if one person’suse of the good does not reduce the ability of other person to use the same good.
Want to see more full solutions like this?
Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!
Students have asked these similar questions
Match the following with: rival and excludable, rival and non-excludable, non-rival and excludable, non-rival and non-excludable.
1) Pizza
2) Congested roads
3) Club goods
4) Clean air on your university campus
5) Tornado warning siren in your town
6) Education at your university
Topic: Externality - Pigou
i need part d,e,f
Economics
A fireworks competition is happening in Sydney this November. An entrance fee of $8.00 is required for spectators who want to have a great view of the competition. However, residences near the competition can also watch the firework displays even without paying for the $8.00 entrance fee.
1. Fireworks display is considered a common good.
2. Fireworks display is non-excludable and non-rivalrous.
3. Fireworks display is non-rivalrous but excludable.
Which of the above statements are true?
Only 1 is true.
Only 2 is true.
Only 3 is true.
Both 1 and 2 are true.
Both 1 and 3 are true.
Chapter 16 Solutions
Macroeconomics
Ch. 16.1 - Prob. 1RQCh. 16.1 - Prob. 2RQCh. 16.1 - Prob. 3RQCh. 16.1 - Prob. 4RQCh. 16.2 - Prob. 1RQCh. 16.2 - Prob. 2RQCh. 16.2 - Prob. 3RQCh. 16.2 - Prob. 4RQCh. 16.3 - Prob. 1RQCh. 16.3 - Prob. 2RQ
Ch. 16.3 - Prob. 3RQCh. 16.3 - Prob. 4RQCh. 16.3 - Prob. 5RQCh. 16 - Prob. 1SPACh. 16 - Prob. 2SPACh. 16 - Prob. 3SPACh. 16 - Prob. 4SPACh. 16 - Prob. 5SPACh. 16 - Prob. 6SPACh. 16 - Prob. 7SPACh. 16 - Prob. 8SPACh. 16 - Prob. 9SPACh. 16 - The Economics of Healthcare (Study plan 16.3) Use...Ch. 16 - Prob. 11APACh. 16 - Prob. 12APACh. 16 - Prob. 13APACh. 16 - Prob. 14APACh. 16 - Prob. 15APACh. 16 - Prob. 16APACh. 16 - Prob. 17APACh. 16 - Prob. 18APACh. 16 - Prob. 19APACh. 16 - Prob. 20APACh. 16 - Prob. 21APACh. 16 - Prob. 22APACh. 16 - Prob. 23APACh. 16 - Prob. 24APA
Knowledge Booster
Similar questions
- riants/950243/take/17/ MULTIPLE CHOICE Question 16 Jason lives near the county fairgrounds. Every year when the fair is open, the traffic on his street is terrible, the lights and noise from the fair keep him awake at night, and the odors from the animal barns reach his property. What is Jason experiencing? A B C non-rivalrous externality. exclusive externality positive externality D negative externality 555555558. రరరరరరరరరరరరరం-ర 7 Total Questions Answered All Changes Saved < @ ☆ ☆ *@*** Contiarrow_forwardWhich of the following is the best example of a good or service that would be considered non-rival and non-excludable? Select one: a. your breakfast Ob. a congested interstate highway c. the United States Navy d. Dr. Craig's corgi, Graciearrow_forwardWhich of the following is the best example of a good or service that would be considered non-rival and non-excludable? Select one: a. your breakfast b. a congested interstate highway c. the United States Navy Od. Dr. Craig's breakfastarrow_forward
- Positive externality No externality Negative externality Answer Bank The U.S. government decides to Lyle and Julia from The hing company icago house all of its nuclear waste to Los Angeles with their newborn infant who cries the entire way illegally hunts the Coelacanth, material at Cactus Cliff, WY. As a critically endangered fish that is close to extinction with all nuclear waste, there is no fail-safe protection method Jane raises bees to produce honey Ronald, the first in his family to attend for her business, but her bees also college, graduates from medical school pollinate many flowers in the neighborhood where she lives. and decides to return home to work as a doctor in his old neighborhood.arrow_forwardDetermine whether the examples below represent non-rival or non-excludable products: A. Non-Excludable Product B. Non-Rival Product C. Both ? ✓ 1. flood control ? ✓ 2. duck hunting on public land 3. phone app n.arrow_forwardThe government is involved in providing many goods and services. For each of the goods or services listed, determine whether it is rival or nonrival in consumption and whether it is excludable or nonexcludable. What type of good is it? A congested interstate highway without tolls nonrival, nonexcludable, public good rival, excludable, private good nonrival, excludable, artificially scarce good rival, nonexcludable, common resourcearrow_forward
- Which of the following is an example of an externality? (x) cigarette smoke that permeates an entire restaurant (y) a flu shot that prevents a student from transmitting the virus to her roommate (z) a beautiful flower garden outside of the local post office Select one or more: a. (x), (y) and (z) b. (x) and (y) only c. (x) and (z) only d. (y) and (z) only e. (y) onlyarrow_forward19. Public goods have the following characteristics Orivaled Oexcludable Onon-excludable Olow social value which causes the following issues for producers Ofree riding Ohigh regulatory burden Onegative externalities Oprivate benefitsarrow_forwardA product that exhibits positive externalities will usually Question 12Select one: a. provide only benefits in production; there are no costs involved in production. b. force additional costs onto third parties to a transaction. c. be produced in an amount greater than society would demand. d. be underproduced.arrow_forward
- 1) Identify a concept on your own from Douglas North and explain it in your own words. You need to CLEARLY identify the source (i.e. name of the book and page, or link of the video and time, or name and link of the website). (one paragraph) 2) How would you use this concept to explain an observation in your life, a historical event, a cultural norm or institution, a local/international problem, create a solution to an environmental issue, or to create a business opportunity? (one paragraph)arrow_forwardWhat are the 6 criteria pollutants? Are carbon emissions regulated in the United States? Identify two greenhouse gases. The Clean Air Act dates back to what year? When was the EPA established? How many times has the Clean Air Act been amended?12.0 Your total willingness to pay for a natural resource is made up of three different types of values. What are they?arrow_forward1) This _____________ protects the human body from some kinds of the bacteria. Select one: a. disability b. dehydration c. vaccine d. balancearrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
Principles of MicroeconomicsEconomicsISBN:9781305156050Author:N. Gregory MankiwPublisher:Cengage Learning
Principles of Microeconomics
Economics
ISBN:9781305156050
Author:N. Gregory Mankiw
Publisher:Cengage Learning