Name a good with a negative externality

Reference no: EM13313635

1) Name a good with a negative externality. What is the external cost? Will a free market for this good provide too much or too little to be allocatively? how can the government ensure an optimal amount to the good is produced?

2) Consider broadband internet. Answer the following:
a) is the service excludable? Explain
b) is the service rival? Explain
c) based on your previous answers, is the service a public good? Explain

3)Adverse selection problem are types of information problem where one side of the market (usually buyers) do not have as much information as sellers and are therefore less willing to take risks on goods. Is there any way that private firms can help reduce the adverse selection problem? Can you think of an example of such a solution? under what circumstances might private firms be unable or unwilling to solve these problems? explain your answer.

4) There is an argument that the internet has made the dissemination of information so cheap and easy that the news has become a public good. Do you agree with this idea? why or why not? if news is a public good( or if it is similar to a public good), what are the potential problem with our current journalism market(where private companies gather and report the news)? is there a role for the government is reporting the news? Are there concerns with the government reporting the news? Explain.

5) There are several government programs associated with reducing poverty. Are there positive externalities associate with reducing poverty? If so, what are they? Do you think the externalities are large enough to economically justify our current attempts or even more intense efforts to fight poverty? Explain

6) the federal government insures bank deposits. this is meant to create stability in the banking system. how might it create moral hazard?

7) how might information asymmetry reduce market efficiency? offer an example of a market that seems inefficient because of inadequate information?

Reference no: EM13313635

Questions Cloud

Explain a reaction that is endothermic : A calorimeter is not a perfect insulator. For a reaction that is endothermic, will the reported (delta)H be too high, too low, or unaffected if the heat exchange with the calorimeter is ignored

Find the equilibrium price and quantity : A monopolist firm faces the following cost curve: C(Q) = 10Q + 300, where Q is the output produced. The demand for its product is given by P = 50 - .

Define the solution required 36.32 ml of edta solution : The total mass of solid unknown dissolved in the sample was 0.1200 g. If the sample were dissolved to a final volume of 100.0 mL, and a 25.00 mL sample of the solution required 36.32 mL of EDTA solution, find the mass percent of CaCO3 that was pre..

Consider the following ricardian model : Consider the following Ricardian model.

Name a good with a negative externality : 1) Name a good with a negative externality. What is the external cost? Will a free market for this good provide too much or too little to be allocatively? how can the government ensure an optimal amount to the good is produced?

Define how to calculate the ph of a buffer solution : Having trouble with a couple of study guide questions for Chemistry. Hoping someone can assist: PART 1: Calculate the pH of a buffer solution that is 0.250 M in HCN and 0.170 M in KCN.

Revealing and exploring system topology : Code and a 1000 word report on revealing and exploring system topology - what it reveals about the system topology and why this is a useful thing to know

Are corporate executives better described as risk averse man : One of the reasons Joseph SchumPeter argued that capital was doomed was

Explain ideal gas expands at a constant pressure : A 2-kg mass of an ideal gas expands at a constant pressure of 172 kPa in a piston-cylinder system from a temperature of 32oC to a final temperature of 182oC. Determine Q, W, DeltaU and DeltaH.

User Account

All Pages