--%>
Assignment Help - homework help

Why producers not be able to find enough paying buyers

Why producers not be able to find enough paying buyers for “public goods”?

E

Expert

Verified

Producers would not be able to find enough paying buyers for “public goods” because of the free rider problem mentioned above.  Therefore, “public goods” are not produced voluntarily through the market but must be provided by the public sector and financed by compulsory taxes.

   Related Questions in Business Economics

  • Q : What are economic resources What are

    What are economic resources? What are the major functions of the entrepreneur?

    		•
  • Q : Individual sellers and buyers in

    Both individual sellers and buyers within perfect competition: w) can affect the market price through their own individual actions. x) can affect the market price by joining along with some of their competitors.  y) have to take the market price as a specified. z

    		•
  • Q : Utilitarianism of Jeremy Bentham with

    The utilitarianism of Jeremy Bentham would clash most strongly along with the philosophic principles of: (w) the epicureans who followed the teachings of Epicurus [c. 341 to 271 BC]. (x) hedonism. (y) the Greek philosophers and mediev

    		•
  • Q : Illustrate how Macroeconomics examines

    Illustrate how Macroeconomics examines the economy as a whole?

    		•
  • Q : External costs and external benefits

    Explain the impact of external costs and external benefits on resource allocation

    		•
  • Q : Illustrate Rational Behaviour of

    Illustrate Rational Behaviour of Economic Perspective?

    		•
  • Q : Importance of Economics Importance of

    Importance of Economics:Economics has become one of the major branches of social sciences. This is of enormous practical value in our day by day life. In pure sciences, we study the subject

    		•
  • Q : Who will get the goods and services Who

    Who will get the goods and services?

    		•
  • Q : Decentralized a virtue of capitalism

    The idea which a virtue of capitalism is decentralized its decision making emerged while: (1) social philosophers looked for alternatives to feudal kings like economic regulators. (2) Russian imperialism fostered anti-communist sentiment after World W

    		•
  • Q : Demand supply Newspaper item: “Due to

    Newspaper item: “Due to lower grain prices, consumers can expect retail prices of choice beef to begin dropping slightly this spring with pork becoming cheaper after midsummer,” the Agriculture Department predicted. “This reflects increasing supply,” the department said. Does the statement use th

    		•