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yarga [219]
3 years ago
11

Market failure associated with public goods A group of university students buys coconuts from a farmers' market. The students co

nsume the meat of the coconuts for food and use the shells to make sculptures. These sculptures are placed in a public park that any student can visit. The park sustains itself through students' donations. Some individuals have no incentive to donate to the park and will, instead, depend on those who do donate. This is an example of which of the followingf?a. The free-rider problemb. A negative externallyc. Efficient allocation of coconutsd. Overuse of coconuts
Business
2 answers:
Gnom [1K]3 years ago
8 0

Answer:

The correct answer is letter "A": The free-rider problem.

Explanation:

The free-rider problem refers to someone being able to get what others pay more for less or just for free. The problem comes when people are unable to pay their fair share for something the majority of others pay for. When it comes to public goods, this is most prominent.

MissTica3 years ago
7 0

Answer:

a. The free-rider problem

Explanation:

The free-rider problem is when people benefit from using a public good but do not pay to enjoy the benefits. The students benefit from the park by visiting the park but do not donate.

Negative externality is when the benefits of economic activities to third parties is less than the cost.

I hope my answer helps you

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You own a stock portfolio invested 30 percent in Stock Q, 25 percent in Stock R, 25 percent in Stock S, and 20 percent in Stock
Reptile [31]

Answer:

Portfolio beta = 1.1075

Explanation:

The portfolio beta is a function of the weighted average of the individual stocks betas' that form up the portfolio. To calculate the portfolio beta, we use the following formula,

Portfolio beta = wA * Beta of A + wB * Beta of B + ... + wN * Beta of N

Where,

  • w represents the weight of each stock in portfolio

Portfolio beta = 0.30 * 0.95  +  0.25 * 1.12  +  0.25 * 1.13  +  0.20 * 1.30

Portfolio beta = 1.1075

6 0
3 years ago
Market failures : a) are only a concern when they result in prices that are too high. b) apply exclusively to situations where p
ZanzabumX [31]

Answer:

d) result in overproduction or underproduction of a good.

Explanation:

Market failure occurs when market forces fails to allocate goods and services efficiently.

The government usually intervenes to correct market failure.

Externalities usually lead to market failure.

Positive externality is when the benefits of economic activities to third parties exceeds its cost. Research and development usually yield postive externality.

Goods that yield postive externality are usually underproduced. Government can intervene by giving subsidies and grants which encourages production.

A negative externality is when the cost of economic activities to third parties exceeds the benefit. Pollution is an example of negative externality. Goods that yield negative externality are usually overproduced. Government can intervene by taxing companies producing negative externality. This would increase the cost of production and discourage production.

I hope my answer helps you

4 0
3 years ago
The weekly profit of a company is modeled by the function w = –g2 + 120g – 28. The weekly profit, w, is dependent on the number
FromTheMoon [43]

Answer:

120 gizmos.

Explanation:

We have been given that the weekly profit of a company is modeled by the function w =-g^2+120g-28. The weekly profit, w, is dependent on the number of gizmos, g, sold. The break-even point is when  w=0.

To find the number of gizmos the company must sell each week in order to break even, we will substitute w=0 in profit function as:

0 =-g^2+120g-28

-g^2+120g-28=0

Now, we will use quadratic formula to solve for g.

g=\frac{-120\pm\sqrt{120^2-4(-1)(-28)}}{2(-1)}

g=\frac{-120\pm\sqrt{14400-112}}{-2}

g=\frac{-120\pm\sqrt{14288}}{-2}

g=\frac{-120\pm 119.53242237987}{-2}

g=\frac{-120-119.53242237987}{-2}\text{ or }g=\frac{-120+119.53242237987}{-2}

g=\frac{-239.53242237987}{-2}\text{ or }g=\frac{-0.46757762013}{-2}

g=119.76621118\text{ or }g=0.2337888

g\approx 120\text{ or }g\approx 0.23

We will take the larger value for the number of gizmos.

Therefore, the company must sell 120 gizmos each week in order to break even.

5 0
3 years ago
Select the correct answer. Rebecca is organizing training programs for her company’s employees. How should she determine the rig
rodikova [14]

Answer:

D. determine any gaps between the skill sets of an employee and the level of skills required for the job position

8 0
4 years ago
Which of the following could be included in the performance indicator measure provided by a nongovernmental not-for-profit hospi
ioda

Answer:

b

Explanation:

7 0
4 years ago
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