Question

Dmitri loves watching Downton Abbey on his local public TV station, but he never sends any money to support the station during its fundraising drives. Economists would call Dmitri a . True or False: The government cannot solve the problem caused by people like Dmitri. True False True or False: The private market can solve this problem by broadcasting Downton Abbey on cable TV, since then the good would be excludable and thus no longer a public good. True False

Answer 1

B. The private marker can solve this problem by broadcasting Downton Abbey on cable TV, since then the good would excludable and thus no longer a public good.

This would solve the money problem, by making it so that people have to pay to watch, which will generate more income.