Tackle the Test: Multiple-Choice Questions

1. Question

   Which of the following types of goods are always nonrival in consumption?

   A.

   public goods

   B.

   private goods

   C.

   common resources

   D.

   inferior goods

   E.

   goods provided by the government

   Which of the following types of goods are always nonrival in consumption?

2. Question

   The free-rider problem occurs in the case of

   A.

   private goods.

   B.

   common resources.

   C.

   artificially scarce goods.

   D.

   motorcycles.

   E.

   all of the above.

   The fre

3. Question

   Public goods are sometimes provided through which of the following means?

   
   

   
   

   1. voluntary contributions

      
      
   
   

   2. individual self-interest

      
      
   
   

   3. the government

      
      
   
   

   A.

   I only

   B.

   II only

   C.

   III only

   D.

   I and III only

   E.

   I, II, and III

   Public goods are sometimes provided through which of the following means?

4. Question

   Market provision of a public good will lead to

   A.

   the efficient quantity.

   B.

   the efficient price.

   C.

   an inefficiently high quantity of the good.

   D.

   an inefficiently low quantity of the good.

   E.

   none of the good being provided.

   Market provision of a public good will lead to

5. Question

   The overuse of a common resource can be reduced by which of the following?

   A.

   a Pigouvian tax

   B.

   government regulations

   C.

   tradable licenses

   D.

   the assignment of property rights

   E.

   all of the above

   The overuse of a common resource can be reduced by which of the following?